கவனிக்க: இந்த மின்னூலைத் தனிப்பட்ட வாசிப்பு, உசாத்துணைத் தேவைகளுக்கு மட்டுமே பயன்படுத்தலாம். வேறு பயன்பாடுகளுக்கு ஆசிரியரின்/பதிப்புரிமையாளரின் அனுமதி பெறப்பட வேண்டும்.
இது கூகிள் எழுத்துணரியால் தானியக்கமாக உருவாக்கப்பட்ட கோப்பு. இந்த மின்னூல் மெய்ப்புப் பார்க்கப்படவில்லை.
இந்தப் படைப்பின் நூலகப் பக்கத்தினை பார்வையிட பின்வரும் இணைப்புக்குச் செல்லவும்: An Analytical Description of Poverty in Sri Lanka

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MARGA SRI LANKA CENTRE FOR
 

DEWELOPMENTSTUDE

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This Publication was made possible with the assistance from the Friedrich Naumann Stiftung.

MARGA INSTITUTE
(Sri Lanka Centre for Development Studies)
AN ANALYTICAL DESCRIPTION OF POWERTY IN SRI LANKA
March 1981
This is an edited reproduction of a study originally prepared in May 1978
P.O Box 601 Tel: 85186 8 81514 Cables: MARGA, Colombo Telex: 21 642 MARGA CE
61 isipathana Mawatha Colombo 5 Sri Lanka

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This study, An Analytical Description of Poverty in Sri Lanka, was carried out by the Marga Institute for USAID in 1978, The study was based on the Survey of Consumer Finances 1973 and on field studies carried out by Marga Institute, The work on Part I was done by Mr. G. I. O. M. Kurukulasuriya and Part I was based on field investigations carried out by Messrs Amarasiri de Silva (Mirissa South), Henry de Mel (Horape), Conrad Arana wake (Henegama), A. K. Basnayake (Walgampaya), Russel Cramer (Paranagama), and L. Shanthi Kumar (Ratnagiri Estate). Statistical support was urovided by Mr. W. S. Sri Kantha.
The concluding chapter was written by Mr. Godfrey Gunatilleke. This study was published in its present format in November 1982. Photo-typeset and Printed by Lotus Process Ltd. (Printers). Colombo 9 Sri Lanka

OONTENTS
Part II
1. Introduction 2. The Economy of Sri Lanka 3. Sources of Data... 4. Poverty and the Households 5. The Pattern of Food Consumption and the
Expenditure on Food 6. The Geography of Poverty 7. Moving away from Poverty 8. Poverty and the Income Receivers 9. The changes between 1963 and 1973 10. Privation in Education o 11. Housing deficiencies of Low income Households 12. Poverty and the Agricultural Situation
Appendix Tables 1A to 1 K
Part II
Non-Urban Poverty - A Study of Six Situations
2. Introduction
(1) Mirissa South
(2) Horape
(3) Henegama ...
(4) Walgampaya
(5) Paranagama
(6) Poverty in the Plantation Sector -
The Situation on a Tea Estate: Ratnagiri
3. Comparative observations on the Micro Studies
(a) Map of Sri Lanka indicating the Zones and the
Six Locations studied in Part I.
(b) Map of Sri Lanka showing the Distribution of
Rainfall.
109 11 O 124 135 144 153
162 171
187
188

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6 Colo Sri |

MARGA INSTITUTE
(Sri Lanka Centre for Development Studies)
AN ANALYTICAL DESCRIPTION OF POWERTY IN SRI LANKA
March 1981
This is an edited reproduction of a study originally prepared in May 1978
sipathana Mawat ha P.O. Box 601 mbo 5 Te: 85186 8 81514
Cables: MARGA, Colombo
anka
Telex: 21642 MARGA CE

Page 5
This study, An Analytical Description of Poverty in Sri Lanka, was carried out by the Marga Institute for USAID in 1978. The study was based on the Survey of Consumer Finances 1973 and on field studies carried out by Marga institute. The work on Part was done by Mr. G. I. O. M. Kurukulasuriya and Part II was based on field investigations carried out by Messrs Amarasiri de Silva (Mirissa South), Henry de Mel (Horape), Conrad Rana wake (Henegama), A. K. Basnayake (Walgampaya), Russef Cramer (Paranagama), and L. Shanthi Kumar (Ratnagiri Estate). Statistical support was urovided by Mr. V. S. Sri Kantha,
The concluding chapter was written by Mr. Godfrey Gunatilleke. This study was published in its present format in November 1982. Photo-typeset and Printed by Lotus Process Ltd. (Printers), Colombo 9 Sri Lanka

CONTENTS
PAGE Part
1. Introduction 1 2. The Economy of Sri Lanka 4 3. Sources of Data... u e O 7 4. Poverty and the Households ... a 15 5. The Pattern of Food Consumption and the
Expenditure on Food . . . 25 6. The Geography of Poverty 39 7. Moving away from Poverty O 49 8. Poverty and the Income Receivers 57 9. The changes between 1963 and 1973 63 10. Privation in Education 68 11. Housing deficiencies of Low Income Households 74 12. Poverty and the Agricultural Situation ... 85
Appendix Tables 1A to 1 K
Part II
Non-Urban Poverty - A Study of Six Situations
2. Introduction ... 109 (1) Mirissa South - O ... 110 (2) Horape ... 124 (3) Henegama ... ... 135 (4) Walgampaya a ... 144 (5) Paranagama ... 153 (6) Poverty in the Plantation Sector -
The Situation on a Tea Estate: Ratnagiri 162
3. Comparative observations on the Micro Studies 171
(a) Map of Sri Lanka indicating the Zones and the
Six Locations studied in Part II. 187 (b) Map of Sri Lanka showing the Distribution of
Rainfall. 188

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POVERTY IN SRI LANKA
1. INTRODUCTION
This study of poverty in Sri Lanka has several objectives. It proposes to measure poverty in terms of objective standards and to define a Poverty Line appropriate to the socio-economic conditions prevailing in the country. In terms of such a poverty line it will indicate the presence of poverty in relation to economic sectors and geographical zones.
The study begins with a brief introduction to the country's economy and to its development which have a bearing on the present pattern of incomes and economic activities. It next gives an account of the sources of data which are available and the main source used for the study. The substantive analysis in the study first seeks to determine an Absolute Poverty Line, which is the level of income at which households were able to meet the minimum requirements of food to satisfy a basic nutritional norm. This norm has been estimated in relation to the age composition of households. The pattern of household incomes and household food Consumption has then been examined and the per capita incomes at which households were maintaining a marginal adequacy of food to satisfy the nutritional norm has been ascertained. Thereafter the number of households in Absolute Poverty is estimated, and its distribution in sectors and zones analysed.
The analysis of poverty is done not in terms of individual income receivers (who may be one or more in a household) but in terms of households, having in mind the per capita availability of resources for meeting the daily needs of the members. This has been prompted by the fact that the satisfaction of basic human needs, the provision of meals, housing, fuel and light, outlays on social and ceremonial needs etc. are generally met in terms of the household.
Immediately above the line of Absolute Poverty are many households which are still 'poor' and who consider
1

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themselves poor and deprived. At the per capita income level which denotes the Poverty Line, households are able to secure a minimum of food and other non-food requirements, but this is still below the level at which a household's basic needs are satisfied. The next phase of the study is therefore an attempt to indicate the level at which households are able to satisfy their 'basic needs.' This level of basic needs is an estimation made, taking into consideration the resource capacity of the country and the actual pattern of consumption within households in the income groups at the next higher level above the Absolute Poverty Line. The concluding section in this part of the study examines how poverty is manifested in inadequate or substandard housing and low educational attainment, and goes on to analyse rural poverty in relation to the availability of agricultural resources which provide the major source of incomes in the rural sector.
Part of this study is a portrayal of poverty in a number of specific situations, namely, in five villages and in a community of people living on and working in a tea plantation. The representative villages are themselves chosen from different cultural-ecological regions, bringing out the fact that villages in Sri Lanka are not homogeneous in character and that the nature and circumstances of poverty are themselves varied. This part of the study indicates the different forms in which poverty manifests itself and examines how 'poverty in housing" and 'poverty in education' varies in intensity in different low income situations, resulting in different profiles of poverty.
The micro-study of the selected villages gues beyond the question of incomes and Consumption ievels. Drawing on the information aathered in the ongoing long-term study of these villages, an attempt is made to identify the causes of poverty and marginalisation of the poorest households in the village, the constraints on their access to resources and the characteristics of poverty specific to these rural situations.
Finally, it should be noted that the analysis in Part of the study is based on the socio-economic conditions
2

prevailing in 1973 and estimates of poverty levels are given in prices current at the time of the survey. The steep inflation that followed on the energy Crisis and significant changes in the structure of prices after the recent devaluation will necessarily alter the level at which present money incomes move beyond the Poverty Line. The study does not attempt to update the information available for 1973 as this would have required a countrywide investigation on the lines of the 1973 survey. The study, however, provides base line data which makes it possible to identify the specific dimensions of poverty in the country, and the location of the deepest pockets in terms of 1973 incomes. In this sense it establishes a quantitative base which can be used for the further refine: ment of the measurement of povertv and the formulation of poverty-oriented programmes.

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2. THE ECONOMY OF SRI LANKA
Sri Lanka is an island of 25,332 square miles with a population of a little over 13.5 million people. The country is divided into nine provinces and twenty-two administrative districts, but for the purpose of socio-economic surveys the land has been divided into four cultural-ecological zones. In some surveys Colombo Municipality (which falls within the District of Colombo) has been treated as a separate zone. For the purpose of socio-economic studies the country has also been divided into three Sectors - the Urban, Rural and Estate.
The past history of the country lends meaning to its present sectoral division. Prior to the European culturecontact the country was organised in terms of village communities. The then-prevailing land-man ratio and the traditional technologies and life styles made these villages viable and adequate economic units to provide the accustomed standard of living. Backed by the availability of sufficient good land, the management of water from the monsoon rains and the cultivation of food for the people did not present intractable problems. An important aspect of the accumulation of social capital at that time was the establishment of a widespread and intricate system of irrigation and water control.
The latter part of the nineteenth century saw the rise of the plantation sector and thereafter the involvement of large numbers of people and their way of life in international trade. This period witnessed the influx of migrant Indian labour for the plantations and also the opening up of the country by a network of roads and railways. The plantations did not depend on the Village Sector for its requirements of rice. The required food was imported from other countries, mainly Burma. The village communities (the Rural sector) continued
4

to exist side by side with an expanding Estate sector and the simultaneous growth of the city and Port of Colombo, the mercantile establishments and of urbanisation in many parts of the country.
With the introduction of political democracy and universal suffrage in 1931 the villagers became a political force. There arose the necessity to develop an integrated economy that could satisfy mass needs in terms of new standards of wellbeing. The pursuit of mass well-being took an upward turn in the post-war period. The elected governments pursued policies of public welfare which included the provision of free education, free health services and even free rations of food. Rice was made available, on a subsidised ration from the time of World War II and subsequently a part of the ration was even given free. Later the scheme was modified to make the free ration available only to non-income tax payers. Currently the rationing scheme has been revised, restricting it further.
Free education begur, in the 1940s (inclusive of University and Medical education), free health services (inclusive of maternity services, hospitalisation facilities and free drugs) also contribute substantially to the satisfaction of basic needs, particularly because these services are well distributed in a well-roaded country. Public transport too carries an element of subsidy.
This direct assault on poverty "has succeeded during the lifetime of a single generation in significantly improving the levels of living of the low income majority, reducing mortality rates and raising life expectancy to levels comparable to the most advanced societies and achieving a literacy rate which is among the highest in the developing world. The country's trends in income distribution have also belied the normal expectations that income disparities would increase in the initial phase of development. At very low levels of per capita income, Sri Lanka has been able to reduce income inequalities to a substantial extent and improve the income earning capacities of low income groups. It has also done this within a political system which is more participatory

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and allows far more civic freedom than what is operative in most other developing countries'
Nevertheless we may also note the negative features of this process of rapid social change. The level of unemployment has continued to be burdensome, inclusive of unemployment of persons with secondary education. Foreign indebtedness has risen, dependence on international trade has not lessened appreciably and the rates of economic growth have been low. The discontent among the youth led to an insurgency in 1971.
In the present structure of the economy, agriculture is the main economic activity. The main sources of the Gross National Product in 1976 were as follows:-
Item Percentage Agriculture, Forestry, Hunting & Fishing 31.2 Manufacturing 13.0 Transport, storage, communication 10.0 Wholesale and retail trade 13.5 Public administration, defence and various services 19.8
The Survey of Consumer Finances of 1973 gave the information of personal incomes and the main sources of these personal incomes. Agriculture, forestry and logging accounted for 50.37% of the total income receivers and they received 41.02% of the total incomes. Government services and other Services held 20.72% of the income receivers and they received 25.51% of the income. Manufacturing and industry held 8.63% of the income receivers and they had received 8.71% of the incomes. Trade and financial Institutions held 6.88% and they received 10.63% of the incomes. 2
1. Wide Participatory Development and Dependence - the Case of Sri Lanka.
Published by the Marga Institute.
2. Reference: Survey of Consumer Finances 1973. Table 75
6

3. SOURCES OF DATA
There are several sources of data from which the picture of poverty in the Island can be drawn up. The most relevant of them are the Survey of Consumer Finances carried out by the Central Bank of Ceylon in 1953, 1963 and 1973 and the Socio-Economic Survey of Sri Lanka 1969/70 carried out by the Department of Census & Statistics. In arriving at the overall picture one can use the data from both these Sources side by side.
In both surveys the country is divided into three sectors - Urban, Fural, and EState.
The data is also presented in both surveys in terms of Zones. The Survey of Consumer Finances presents the data for Colombo Vunicipality as a separate Zone V whereas in the Socio-Economic Survey the City of Colombo is included in Zone which in both surveys include Colombo district. in other respects the zones are identical.
The Survey of Consumer Finances 1973 has certain advantages and features which make it the most appropriate to serve as the main source of data in a study of poverty. A similar survey was also done in 1963 and it enables one to make Comparisons over a ten-year period.
The Survey of Consumer Finances sought to obtain by means of a sample survey direct estimates of personal incomes, consumption and savings. The survey examined the pattern of incomes both in terms of Income Receivers and in terms of Spending Units which de facto are Households. The data in Income Receivers has been gathered in great detail and with reference to age, sex, community, sources of income, sectors and zones. Data on Household Incomes are presented in terms of sectors and zones and in terms of the income slabs of the households. Expenditures of Households are presented in terms of the income slabs
7

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of households and also in terms of per capita outlays. A special feature of the Survey of Consumer Finances of 1973 was the presentation of the data gathered on the per capita physical consumption of food in addition to the per capita expenditures on classified items of Consumption such as food, clothing, housing, fuel and light, education etc.
A study of poverty requires data at the lower income levels in terms of small slabs of monthly household (and per capita) income. This is available in the Survey of Consumer Finances. Data on the physical consumption of food and on other classified items of expenditure are given in terms of two-month incomes of households at the levels of Rs. O-50, 51-1 OO, 101-200, 201-400 and thereafter for two-month incomes slabs of Rs. 201-400, 401-800, 801-1600, 1601– 2000, 2001-3000 and over Rs. 3000.
The data available includes the n&mbers Constituting these households thus providing for a per capita analysis. This is important because the numbers in a household rise steadily with a rise in household income (vide Table 2). Household income levels as such are not adequate indicators of poverty.
A further feature of this survey data (which is important when dealing with averages) is that the distribution of incomes of households is given ranked in terms of very small slabs of 2 month incomes, namely, in slabs rising by Rs. 25 for the income ranges Rs. 0-200, in slabs of Rs. 50 for Rs. 201– 500. From Rs. 501-1000 (2 months) it is given in slabs of Rs. 100 and thereafter in slabs of Rs. 200.
This is also available in terms of Sectors and Zones
With this data in hand, one could locate sector-wise and zone-wise the distribution of the poor households once we determine the level 6f per capita resources as a cut-off point for Absolute Poverty.
Features of the two surveys
AS data from both the Survey of Consumer Finances and the Socio-Economic Survey are used, it is necessary to note some of the features of the two surveys.
8

in the collection of data the Socio-Economic Survey gathered the consumption data more accurately by resorting to four rounds of investigation spread over one year. In the Survey of Consumer Finances the data on actual consumption was recorded by three checks during one week for each household, the field work being carried out over the months of January and February 1973. This was a period before the paddy harvest and at a time when the crops of jak fruit, breadfruit and other fruits were very low. Data on average physical consumption in the Rural sector has thus been somewhat understated in the Survey of Consumer Finances.
The report on the Survey of Consumer Finances 1973 observes that, apart from incomes in the form of salaries, there was a tendency to understate incomes, and understating of incomes by farmers'was common (Report/Page 15). However, for the Survey as a whole, it was thought there was also a tendency to overstate Consumption.
Incomes included gifts of cash or consumption items, income in kind inclusive of the free rice ration, the value of which was included under gifts and charitable allowances.
Although both the Survey of Consumer Finances 1973 and the Socio-Economic Survey 1969/70 took into account income in kind, the Socio-Economic Survey of 1969/70 did not include in income' an imputed value for the measure (2 lb) of free rice issued weekly to all persons. In the Survey of Consumer Finances the free measure of rice was valued at Rs. 2 which was the subsidised price of the part of the ration that was paid for. Thus, in the Socio-Economic Survey 1969/70, the food actually consumed was related to a somewhat understated level of household income - a factor which is significant in the case of low income households.
It is also important to note that in the Sri Lanka situation there are certain benefits available to and enjoyed by all the people but which have been explicitly excluded from the total incomes in both these surveys. There was the value of the free medical services, free drugs etc. actually availed of from State and Municipal medical establishments, free education,
9

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free mid-day meals received by some school children and free school books given to some children. Thus, the monev value of income given in the surveys is understated to the extent of households, especially of the poor, availing of these services.
There was also a tendency to understate the value of income in kind in the Rural Sector when it came to homegrown food. As this was valued at prices fetched in the nearest market the villagers home-nrnwn (and consumed) food would have been put down at a very low value although the same physical quantities would have been bought and sold at much higher prices in urban areas.
Zones and Sectors
As already stated the data has been gathered in terms of Zones and Sectors.
The Zones in the Survey of Consumer Finances are as follows:-
- Zone consists of housing units in the districts of Colombo, Kalutara, Galle and Matara excluding the housing units in the Colombo Municipality.
- Zone ll consists of housing units in the districts of Hambantota, Moneragala, Amparai, Polonnaruwa, Anura - dhapura and Puttalam.
- Zone III consists of housina units in the districts of Jaffna, Mannar, Vavuniya, Trincomalee and Batticaloa.
- Zone IV consists of housing units in the districts of Kandy, Matale, Nuwara Eliya, Badulla, Ratnapura, Kegalle and Kurunegala.
- Zone V consists of the housing units in the Colombo
Municipality. - All-Island is a totality of the 3 Sectors or the 5 Zones.
In the case of the Socio-Economic Survey 1969/70, Zone V (Colombo Municipality) is incorporated in Zone l.
The Urban sector consists of all housing units in the Municipal, Urban and Town Council areas.
1 O

The Estate sector consists of all housing units in the Tea and Rubber estates of over 20 acres with more than 10 resident workers. In the Socio-Economic Survey 1969/70, coconut estates of that order are also included in the Estate SeCtOr.
The Rural sector consists of all housing units which were not included in the Urban and Estate sectors.
The cultivation of coconut is least labour-intensive and the greater part of the land under coconut is in home gardens and in small and medium holdings owned by individuals and families rather than by joint stock companies. Except for large estates of over about 250 acres, the number of resident labourers is few: the coconut estates draw on the labour of villagers from the surrounding villages. The coconut cultivation sector has therefore been included in the Rural sector in the Survey of Consumer Finances although about 1.2 million acres of land are under coconut and about 40% of the production is exported.
It may however be noted that in 1973 as much as 18.21% of the land in Tea was in small holdings of 10 acres or less and 38.18% of land under Rubber was in such small holdings. The Estate sector takes into account only estates of 20 acres and with more than 10 resident workers.
The Households
For the purpose of analysing the prevalence of poverty the 'Spending Unit" has been treated as the natural 'household'
To obviate confusion it is necessary to comment on the use of terms in the Survey of Consumer Finances. In that survey a Housing Unit' was a place of residence separate from other living quarters and having separate access. Hotels, hospitals, and commercial boarding houses were excluded. The term 'household' had been used in that survey to refer to a person living alone or a group of persons living together and having common cooking arrangements. A housing unit
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may hold more than one such household'' However, the real unit of overall spending and want satisfaction was the Spending Unit. The Spending Unit was defined as one or more persons who shared major items of expenditure and not only food expenses. According to the terminology used in that survey the survey covered 5088 households which actually held 5363 Spending Units.
The Zone - wise and Sector -wise distribution of Spending Units and the general features of the Survey of Consumer Finances 1973 are giver in Tables 1(a) and 1 (b).
The Estates fell into Zone and Zone IV. Of the 530
'households' (which held 537 Spending Units) falling into the EState Sector, 60 fel into Zone I and 470 fel into Zone IV.
12

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14

4. POVERTY AND THE HOUSEHOLDS
Poverty could be approached at two levels: at the level of income of the individual income Receivers and at the level of the Households as Spending Units. It is however the household as a Spending Unit which is selected as the unit of analysis for the present study as it is through the household that the satisfaction of individual wants is carried out. Furthermore, in an economy like Sri Lanka where a large part of the economic activity is organised informally through a household or family enterprise, income receivers cannot be clearly identified. This is specially true of the Rural sector where the recorded incomes of the income receivers include the value of the unrecorded inputs of other. members of the household in various agricultural operations and other supporting activities. The household is the appropriate unit for other considerations as well. The income of the household as a Spending Unit is often derived from more than one income receiver, and satisfaction of wants of all the members of the household is met Out of the total income. If the per capita income and availability of resources in the household is an indicator of wellbeing, then our unit of analysis has to be the household. The organisation of the household and its size in relation to inComes also brings with it certain 'economies of scale" which are relevant in a discussion of poverty. A two-member household and a five-member household may enjoy the same per capita income, but the five-member household with a higher total income may have better capacity to provide for housing outlays, food expenditure and satisfy other wants such as recreation. These qualifications would have to be kept in mind when we proceed to make a detailed analysis of the incomes of Spending Units.
It will be noticed from Table 1 that the Spending Units in the Estate sector have on the average 2.41 income Receivers as against 1.26 in the Urban and in the Rural sectors.
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The data in that table also indicates that the Urban Sector held 19.08% of the Spending Units but 18.81% of the population. The Rural sector held 70.91% of the Spending Units but 71.47% of the total population. The Estate sector held 10.01% of the Spending Units and 9.71% of the population.
As an introduction to the study of the sector-wise and the zone-wise distribution of poverty and well-being it is useful to have an overview of the aff-island situation as it comes out from averages for ranked income slabs. This is presented in Table 2 The Spending Units are ranked in terms of small slabs of two-month income, regardless of Sector or Zone, and averages are presented for each slab. It should be noted that the average number of persons in a spending unit rises steadily with the income level of the slab. It goes up from an average of two persons per Spending Unit in the income range Rs. 126/Rs. 150 for 2 months to an average of 6.8 persons in the income range of over Rs. 3000/- for 2 months. In this table of ranked income slabs it will be noticed that the average per capita in these slabs rises very slowly. At the income level of Rs. 101/ Rs. 125 for 2 months it is Rs. 60.67. It doubles and becomes Rs. 123.11 only at the income slab Rs. 801 / Rs. 900. It increases rapidly only after the income level of Rs. 2000/- for 2, months. In this context it is important to note that it is not the level of household income as such but the level of per capita resources within a household that determines the level of well-being of the household members and the level of their per capita Consumption.
We may next see how the 5363 Spending Units of the all-island sample are distributed among the ranked twomonth income slabs of Spending Units. This is presented in Table 3 (a).
It will be noticed that 34.23% of the Spending Units have incomes of Rs. 400/2 months or less and 79.71% have incomes of Rs. 800/2 months or less. In terms of population 24.53% belong to Spending Units with incomes at Rs. 400/2 months or less and 73.99% to Spending Units with incomes at Rs. 800/2 months or less.
16

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18

The distribution of Spending Units in terms of the level of Income of the Spending Units can also be viewed in terms of the data disaggregated into sectors. This is presented in Table 3 (b) bringing into focus the relatively poor Spending Units up to Rs. 400/2 months.
TABLE 3(b)
SPENDING UNITS WITH LOW HOUSEHOLD IN COMES DISTRIBUTION N SECTORS
fincome leve/ of Spending Unit
2 months income Urban Fura/ Estate
(Rs...)
A. O - 100 6 44 6 B. 1 OO — 200 58 236 2O C. 201 - 400 185 1114 167
D. Total
O - 400 249 1394 193
E. Total of all
Spending Units
in Sector 1 O23 38O3 537 F. D as % of E 23.30 36.66 35.94
Source. Survey of Consumer Finances 1973 Vol I and Marga Institute.
A close examination of the survey disclosed that the very lowest income grouping was not significant or representative of an economic class. These households covered incom - pletely investigated cases, persons on strike and/or temporarily unemployed. The lowest 56 Spending Units out of the total of 5363 Spending Units do not merit investigation in detail. These 56 Spending Units covered only 94 persons out of 28,587 persons falling into the sample and Rs. 4,421 out of the total income of Rs. 3,333,465 in the sample. They have a two-month income below Rs. 100.
The largest number of Spending Units fell into the twomonth income group Rs. 401-800 and the next largest into Rs. 201-400. The pattern of the ranking of per capita income in
9

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house-holds (Table 2) reveals that for the island as a whose a steady upward movement of per capita income begins at the level of Rs. 350-400 for 2 months. But we shall see later that the average for the Island as a whole, masks the situation that prevai is sector-wise and Zone-wise.
For these different household-income slabs, the average income per household does not show much sector-wise variation. However, there are substantial variations in the per capita resources between Sectors for the same income slab. Table 4 shows these variations for the lower income groups. In terms of per capita income within the Spending Units, the Estate sector has a distinct advantage over both the Urban and Rural sectors up to the income slab of Rs. 450 for two months. Here a word of caution is however necessary. The rural incomes and urban incomes in the informal sector could be easily understated in surveys of this kind particularly in respect of income in kind, (items produced and consumed at home) and similar sources of income which are not easily identifiable. In the case of the Estate sector there is less chance of understatement as information on wage income which is the main source, is available more readily and with greater accuracy. The survey data may therefore tend to exaggerate the income disparities between the estate and rural incomes.
In a zone-wise analysis (Table 5) the poverty of the low income rural (village) households in Zone IV is not clearly revealed owing to the presence of both estates and urban areas in the zone which raise the average household incomes in the Zone. In Zone I, only 3.7% of the households belonged to... the estates but in Zone IV, as much as 23.2% of the zone households were on the estates. In spite of the inclusion of the estates, the per capita resources in Zone IV taken as a whole are relatively unfavourable when compared with Zones I, II and V. Zone II also shows low per Capita resources particularly at the lower household-income slabs. This zone has no estate households and the urban households constituted only 83% in Zone IV the urban households amounted to only 6% in Zone I, the urban households amounted to as much as 26.8% Zone V of course is the City of Colombo which is entirely classed as urban.
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22

Poverty within households depends on the per capita availability of resources within the household. The examination of Tables 4 and 5 (which give a sector-wise and zonewise grouping of households) shows that poverty is suffered in households regardless of the level of the income slab of Household income. These tables give the per capita incomes for spending units in each income slab. The number of persons in the households in proportion to household income is the main determinant of household poverty. When we apply this criterion we see that there are households with low household-incomes that do not suffer serious privation. Picking out the incidence of poverty measured by any chosen poverty line of per capita resources has therefore to be done in terms of the disaggregated data relating to very small slabs of household income or alternatively, by examining every single household in the sample for its per capita income.
In the Household income group Rs. 0-125/2 months (Table 4), it is the urban group with relatively high numbers per household that fares worst, indicating the presence of urban slums, and this is also so in Colombo Municipality (Table 5-Zone V). The fluctuating per capita income in Zone V-Colombo Municipality-suggests that poverty is caused by the large size of households of certain levels of household income such as at the household-income level of Rs. 401-450 for 2 months. The effect of high numbers constituting the household shows up also in the case of the sector-wise data in Table 4. The Rural sector appears to suffer Considerably on this account at certain household-income levels, particularly at Rs. 250-300 and Rs. 300-350 when household size has increased to 4 1 and 46 from 31 in the preceding income slab of Rs. 200—250. (For fuller data vide Appendix Tables 1A to 1K).
From the data in Tables 2 and 4, in spite of certain fluctuations in per capita income, it is possible to distinguish a line of demarcation in terms of per capita income when we reach the Rs. 400-450 income level for spending units. Per capita incomes remain more or less static until household incomes reach this level. There is a relatively steady rise thereafter denoting, as we would perceive later, an increasing
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capacity of households to improve and diversify their pattern of consumption. In the next chapter we analyse in greater detail the significance of this demarcation of income in terms of the capacity of households to satisfy their minimum requirements of food and other basic needs.
24

5. THE PATTERN OF FOOD CONSUMPTION AND THE EXPENDTURE ON FOOD
Food generally receives the highest priority in the expenditure pattern of the lower income groups and inadequacy in food is the most appropriate indicator of poverty. An Overview of the Island's expenditure on food in terms of income classes gives a general indication of the position of the poor (as compared with the more well-to-do) in regard to food. This overview is presented in Tables 6 and 7. The Overall national averages, because of their very nature, are of limited significance. However, they serve as a measure in assessing the place of the poor.
The poor, as may be expected, are distributed mainly among the low household-income slabs of Rs. 0-100 (which though poor are very few and unrepresentative), Rs. 101-200 (which covers 5.85% of the households in the total sample) and Rs. 201-4OO which covers 27.36% of the households. Therefore, a closer scrutiny is made of these households while comparing their conditions with the next income slab of Rs. 401-800 for which also much detailed data is available on food consumption. The general pattern of expenditure on food of the lower income groups, inclusive of the sectorwise and zone-wise data, is presented in Table 6. In Table 7, we see the physical quantities of food consumed by these income classes and their equivalent in Calories and proteins.
A word of caution is necessary regarding comparisons of expenditures on food and their relation to levels of income. Income refers to cash income and 'income in kind' and expenditure refers to items bought and values of 'incomes in kind' consumed. Income in kind has been valued at the prices in proximate markets. Income in kind is important in the case of the low income households. The data on the 'income in kind' as a percentage of the total income of
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32

an income Receiver for the lower income groups' has been as follows:-
TABLE 8
INCOME IN KEND: PERCENTAGE OF TOTAL INCOME
Income Receivers lincomme Grotupo
2 months inconne Urban Rura/ Estate AH i Sfar of
RS, 1 O1 2OO 25.31 22.47 6.54 1585 2O1 - 4OO 19.17 32.17 30.26 30.08 4.01 .. 800 14.96 3O20 24.38 26.55
Source. Survey of Consumer Finances 1973, Table No. 50
Income in kind includes free rations, free meals, uniforms, railway warrants, free living quarters etc. enjoyed by employees. It includes homegrown products and free gifts.
In the Rural sector especially, food gathered free or homegrown items tended to be undervalued. Herbs, berries, roots, tubers etc. may not have had any money value at all or may have gone unrecorded. Fruits such as jak fruit, breadfruit (in season), some varieties of fruit of low or no market value in the villages would have been under-recorded in value, affecting both the level of the recorded money value of income and money value of the outlay on food. A Comparison of money values of food consumed has therefore to be treated with caution. Money values as such are no measure of nutritional intake. The actual physical quantities consumed are more relevant. AS regards physical quantities consumed too the timing of the survey (when domestic inventories and daily Consumption were relatively low in the villages prior to the harvest and when breadfruit, jak fruit etc. were offseason) was such that the recorded average daily consumption for the Rura/ sector would have been somewhat lower than the actual annual average level of consumption. Table 6 on food expenditures shows that poor households of the Urban and Rural sectors have per capita outlays on food which are lower than the national average. In the Estate sector it is higher. In Sri Lanka the households in the Estate sector spend a higher proportion of their household income on
33

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food and they also have a higher per capita outlay on food. An examination of the physical duantities of food consumed shows that they have a higher nutritional intake than households in Corresponding slabs of income in the Urban and Rural sectors.
For the lsland as a whole, the expenditure on food as a percentage of total expenditure amounted to 55.17%. The all-island household income group Rs. 101-200 for two months spent 63.65% on food and the income group Rs. 201400 spent 62.83% showing a difference of only 0.82%. This is because the average number of persons within a household rises with the level of household incomes. When we examine the average expenditure per capita on food, we see that for each sector the per capita outlay in the household income slab Rs. 101-200 is not very different from the per capita outlay in the household income slab Rs. 201-400.
We have already noted that the per capita income for two months in the income group Rs. 101-200 is Rs. 70.98 and that in the income group Rs. 201–400 it is Rs. 73.33, the difference being only Rs. 2.33 for two months. There is however a notable change in the per capita income in the next slab, i.e. Rs. 401-500. It is Rs. 12.57 higher than in the slab Rs. 201-400. The upward change begins when the household income rises above Rs. 400 for two months.
Table 7 gives the physical quantities of food consumed per head over a two-month period as an overal national average, as a national average by sectors and the consumption by the income groups Rs. 101-200 and Rs. 201-400 which hold the poor households. sector-wise there are differences in the choice of foods. The Urban sector has a higher consumption of bread, meat, fresh fish and potatoes; the Rural sector of dried fish and manioc and the Estate sector of wheat flour, pulses, and fresh milk. The ready availability of these items in the respective sectors is a contributory factor.
A summary of the average daily intake of calories and proteins is given in Table 9.
The per capita adequacy of calories and proteins would depend among other things on the age and sex composition
34

TABLE 9 DAY AVERAGE PER CAPITA NTAKE OF CALORES AND
PROTENS
Sector Casories Aroteins
National Averages
All Sectors - All Income Groups 1965.79 44.05
Urban - All income Groups 1906.42 44.13
Rural - All Income Groups 1900.78 42.16
Estate - All Income Groups 2378.8O 56.63 income Groups Rs. 101-200
All Sectors .. 1762.21 42.72
Urban - ... 1424.91 33.24
Rural 1776.16 38.55
Estate - - 2736.97 58.65 income Groups Rs. 201-400
All Sectors . . 1917.03 415
Urban 2217.67 63.4
Rura - 1779.03 39.3
Estate ... 24.69.82 57.4
Source Data on average per capita daily consumption from Survey of
Consumer Finances 1973, Tables S 589 - S 592.
of the group for which adequacy is to be determined. The data of the Survey of Consumer Finances shows that there is a wide variation in the age and sex composition of the households falling into the different income slabs (vide Survey of Consumer Finances 1973, Vol. II, Tables P4 and M6 to M9). In the income group Rs. 201-400 the number of persons below 9 years of age was higher than the national average. This was also so for persons over 55 years of age. In regard to sex composition this income group had slightly more females than the national average. A norm of the minimum adequate intake of calories and proteins was worked out for the income group Rs. 201–400 taking into account the age composition of the persons falling into the sample and taking sex as evenly distributed. Adequacy levels were taken in terms of the Daisy Recommended Wutrient Allowances for Sri Lanka, given in Table 10 prepared by the Department of Nutrition, Medical Research Institute, Colombo. The norms and the actual intake for the critical income group are given in Table 11.
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36

The conversion of food items into calories and proteins Was done in terms of the Wutrient Conversion Factors for Sri Lanka in the income and Food Consumption Report to the Government of Sri Lanka by Thomas T. Poleman (UN Development Programme (CEY/71/061).
TABLE 11
AVERAGE PER CAPTA CONSUMPTION OF LOW INCOME GROUPS SURVEY OF CONSUMER FINANCES 1973 HOUSEHOLD INCOME GROUP RS, 201 400 2 MONTHS
Per Capita Norm Actual Per Percentage
Sector for actual age Capita Con- of
сотposition Sumption Adequacy Cafories Proteins Cafories Proteins Cafories Proteins All Island 1950.3O 40.86 1917.03 415 98.29 1 O157 Urban 1938.34 4105 2217.67 63.4 114.41 15445 Rural 1952.76 40.80 1779.03 39.3 911 O 96.32 Estate 1944.52 41.12 2469.82 574 12701 139.59
Source: For age composition : Survey of Consumer Finances 1973, Vol. II,
Tables P4 and M6 tO M9.
it will be noticed that this income class (Rs. 201-400 for 2 months) as a whole is marginally adequate in food intake. The Urban sector of this income class and the Estate sector are above the level of adequacy. It is the Rural sector which shows some inadequacy.
The per capita income associated with these levels of nutritional intake were as follows:-
TABLE 12
NUTRIONAL ADEO UACY AND PER CAPTA INCO ME
Per capita income Percentage Food Adequacy Sector (2 months) Cafories Proteins
FየS.
Al-Island 73.33 98.29 1 O157 Urban 79.88 11441 154.45 Rural 7104. 911 O 96.32 Estate 83.57 127.01 139.59
Source. Survey of Consumer Finances 1973. Vol. II.
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Adequacy is reached roughly at the per capita income level of Rs. 73 for 2 months or Rs. 36.50 per month. The case of the Rural sector however calls for further comment. The figures for rural incomes took into account the returns of the annual harvests for these households and also a money value (though understated) of the homegrown or gathered food. But the actual average nutritional intake came to be under-recorded because of the timing of the survey The actual consumption of calories and proteins in the Rural Sector as an annual daily per Capita average would have been higher than 1779.03 calories and 39.3 grams protein at the per capita income leve/ of Rs. 71.04 for 2 months. Exactly how much higher would be a matter of estimation. A 5% higher intake per day would make it 1867.98 calories and 41.27 gm. of protein and a 10% higher intake would make it 1956.93 calories and 43.23 gms. of protein at the per capita income level of Rs. 71.04. Allowing for this, it would be reasonable to consider Rs. 73 per two months as the per capita income level at which the marginal households would be able to reach a bare minimum adequacy of calories and proteins per day.
This per capita income level within a household is therefore taken as the poverty line of Absolute Poverty in the Sri Lankan situation where everybody can also avail himself of certain unaccounted benefits flowing from free or subsidized goods and services.
Taking a per capita income of Rs. 73 for 2 months we next examine the data on per capita household income. For this operation we examine the averages for the smallest available income slabs both sector-wise and Zone-wise. As already stated, the income slabs from Rs. O-200 go up by slabs of Rs. 25 for 2 months, from Rs. 201-400 by slabs of Rs. 50 for 2 months and Rs. 400-1000 by slabs of Rs. 100 for 2 months. Short of examining the per capita income in each household in the sample survey, this procedure gives an adequate identification of the poverty groups.
38

6. THE GEOGRAPHY OF POVERTY
A per capita income of Rs. 73 for 2 months (i.e. Rs. 36.50 per month) within a household has been taken as the level of income a household needs in order to provide its members a marginally adequate diet. The identification of households that are short of this level should ideally be done by examining the data for each household in the sample. As this is not practical, we have taken the smallest income slabs of household-income for which data is available and examined the level of average per capita income within them. The disaggregated data on these households/Spending Units are given in Appendix Tables 1A to 1K. The geographical distribution is in Table 13.
In the Survey of Consumer Finances, the households in the sample have been grouped in two ways: in Three Sectors and in Five Zones. There are certain differences in the composition of the households at the different levels of income between the three sectors. When households are grouped in zones we find that each zone has a quota of Urban households, and Zone and Zone IV contain the Estates. Seven percent of the households in Zone fall into the Estates and about 23% of the households in Zone IV fall into the Estates. As a result, when households are grouped into the respective household income slabs in terms of zones and the average per capita income within them are examined, the number of households suffering absolute poverty turn out to be less in terms of zones than in terms of sectors. This is because absoiute poverty (as defined above) is negligible on the Estates and it is low in the overal Urban areas. When these better-placed households are spread across geographical zones, they give an improved look to the allisland situation when viewed zone-wise. The presence of village level poverty in Zone IV gets obscured.
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TABLE 13
THE DISTRIBUTION OF ABSOLUTE POWERTY MEASUPT BY SERIOUS DETARY NADEOUACY
(a) HOUSEHOLDS - Households with per capita income within
households at Rs. 73 for 2 months or less
Sector/Zone Spending Units/Households
Total in Wurmber As 96 of Sample for showing As % of لمخرllSector/Zone inade- Sector Island
% guасу or Zone 5363
Al-Island 5363 100 1024 19.09 19.09
Urban Sector 1023 19.08 66 6.45 1.23 Rural Sector 3803 70.91 991 26.06 18.48 Estate Sector 537 10.01 9 1.68 0.17 Total (By Sectors) 5363 100.00 1066 1988
Zone 1/Districts
Colombo, Kalutara, Galle, Matara exclusive of Colombo Municipality ... 1762 32.85 25 142 0.47 Zone 2/Districts
Hambantota, Moneragala, Amparai, Polonna ruwa, Anuradhapura, Puttalam 771 14.38 153 19.84 2.85
Zone 3/ Districts
Jaffna, Mannar, Vavuniya, Trincormalee, Batticaloa 549 10.24 55 10.02 1.03
Zone 4/Districts
Kandy, Matale, Badula, Nuwara - Eliya. Ratnapura, Kegalle, Kurunegala 2100 39.16 6O7 28.90 1132
Zone 5
Colombo Municipality... 181 3.37 43 23.76 0.80
Total (By Zones) 5363 100.00 883 16.47
4O
(continued)

TABLE 1 3 (continuation)
Sector/Zone (b) PERSONS/Population
Totა ი! in fWumber As 96 of Same for showing As % of AllSector/Zone finade - Sector island % guасу or Zone 28587
Ali-sland ... ... 28587 1OO 3731 13.05 13.05
Urban Sector 5378 1881 198 3.68 0.69 Rural Sector ... 20432 71.47 3601 17.62 1260 Estate Sector 2777 9.71 15 0.54 0.05 Total (By Sectors) ... 28587 100.00 3814 13.34
Zone 1 / Districts
Colombo, Kalutara, Galle, Matara exclusive of Colombo Municipality ... 9.017 3154 42 0.47 0.15
2one 2/Districts
Hambantota, Moneragala, Amparai, Polonnaruwa, Anuradhapura, Puttalam 4256 1489 648 15.23 2.27
2one 3/Districts
Jaffna, Mannar, Vavuniya, Trincormalee, Batticaloa 2905 10.16 172 5.92 0.60
2one 4/Districts
Kandy, Matale, Badulla, Nuvara - Eliya, Ratnapura, Kegalle, Kuru -
negala ... 11358 39.73 2280 2007 7.98
Zone 5
Colombo Municipality 1051 3.68 221 21.02 O.77
Total (By Zones) ... 28587 100.00 3363 1177
The sector-wise examination gives a total of 1066 disadvantaged households out of a total of 5363, i.e. 19.88%. The zone-wise examination shows up only 883 households, i.e. 16.47%. When the totality of the island's households are grouped into small income slabs and examined, the results show 19.09%. The distribution of the incidence of absolute poverty is given in Table 13 and it would be fair to say that around 19% of the households suffer absolute poverty although the data is somewhat obscured in the zone-wise analysis.
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Page 27
The examination of the data on the average per capita resources for very small slabs of household income shows that the slab of Household Income is no indicator of the availability of per capita resources except in the poorest household income slab of Rs. 0-100 for two months. In this layer of household income, all the households are in Absolute Poverty regardless of sector or zone. They amount to only 56 households out of the Island total of 5363. Sector-wise, 44 of them are in the Rural sector. Zone-wise, 29 of them are in Zone IV. There appears to be an under-recording of 'gifts' or income in kind.
The next broad income slab adopted in the Survey of Consumer Finances is Rs. 101-200 for 2 months. When households within this slab are examined for their per capita resources in terms of Rs. 25 slabs of household income (vide Appendix Tables 1 C to 1J), 198 disadvantaged households show up in the sector-wise analysis and 174 in terms of the zonewise analysis. The particulars are given in Table 14. Sectorwise, 177 out of the 198 are in the Rural sector. Zone-wise, 1 06 Out Of the 174 are in Zone IV.
The household income slab Rs. 201-400 holds the majority of the households suffering absolute poverty whether viewed sector-wise or zone-wise. Over 70% of the disadvantaged households fall into this broad income slab.
Viewed sector-wise, there are no households in the Estate sector in this income slab suffering absolute poverty. Only 42 in the Urban sector are affected but 770 out of the 812 affected households are in the Rural sector.
This pattern gets reflected in the zone-wise analysis which shows up only 644 disadvantaged households in this income slab. Not a single household in Zone 1 (which is highly urbanised) is affected. But 472 out of the 644 affected households fall into Zone IV which is east urbanised.
Sector-wise, all the disadvantaged households fall into households with household incomes up to Rs. 400 for 2 months. However, in the zone-wise disaggregation, 9 households out of the 883 fall into the household income group
42

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Page 28
‘omniț¢sus e6-ew pue £161 səuoɔul Jaunsuoɔ ļo Aaauns :əɔunos 'qelS euroous oụ10əds əų osu! Ie, seų əuoz əų uỊ spio qəsnoH pənəəge seno, əųı — w I oooZoolhos sed əųł dos qels auoous aux ou! Ie, qolqaa əIdues pueĮsi əų, u spļouesnoH po səqunu segol eu 1 — || 1 osoleue osso-auoz əųł us Auə^od əlniosqv aq pələəye sį sųnuou z Joy ogły sg Əaoqe əuoou, pļoqəsnou eųųw pỊoqəsnou oN |(8989) oldues puessi æq; us sploụəsnou selo, əų jo 949 og i øınıņsuoɔ dnu^^ous spļousasnou pələəge £88 əų səsÁļeueəsựw-əuoz əų uỊ :ənow
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44

Rs. 401-450 for two months and they are in Zone V - Colombo Municipality,
It is the Rural sector that holds most of the households in Absolute Poverty. In the sector-wise analysis, as much as 92.96% of the affected households are in the Rural sector. In the zone-wise analysis, as much as 68.74% are in Zone IV.
Absolute Poverty has been defined in terms of the reSources available per Capita within the households. The data suggests that the disadvantaged households are the smaller households with a relatively few income earners with low incomes. The smallness of the incomes itself reduces the number that can possibly live in them,
Within the respective broad income slabs of household income, it is the average number in the respective households that determine whether there is a sufficiency of per capita resources. Families tend to hover around the level of marginal sufficiency. An additional member getting employed can move the household out of absolute poverty. Likewise, the death or incapacitation of an earner or the addition of a nonearner may move the household into severe poverty.
Table 4 shows the weight of numbers within households in the respective household income slabs. It will be noticed that the numbers within households are relatively low in the Estate sector and they are relatively high in the Rural sector particularly in the income range of Rs. 201-400. For example, in the household income slab of Rs. 301–350/2 months, it is 4.6 for the Rural, 4.1 for the Estate, and 3.7 for the Urban. In the slab Rs. 350-400/2 months, it is 5.1 for the Rural, 4.6 for the Urban. and 4.3 for the Estate. The disadvantaged households show up to be the ones with relatively few income earners and relatively high numbers.
We may next examine the incidence of the noor households in terms of the total in each sector and its significance in terms of population. Sector - wise, only 1.68% of the Estate households suffer this poverty and they constitute 0.54% of the Estate population. These households make up 0.17% of the Island's households and 0.05% of the Island's nonulation. The Urban sector has 6.45% of the sector households affected
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and this covers 3.68% of the sector population. In terms of the Island as a whole, it is only 1.23% of the households and only 0.69% of the population. It is the Rural sector that manifests a considerable degree of absolute poverty. As much as 26.06% of the sector households appear to be affected, covering 17.62% of the sector population. In terms of the whole Island, it is 18.48% of the households and 12.60% of the population.
Zone -wise, in Zone I, only 1.42% of the zone households are affected and they constitute 0.47% of the Island's households. In terms of population, it is 0.47% of the zone population and 0.15% of the Island population. In Zone 1, 19.84% of the households are affected but they constitute only 2.85% of the Island's households. Population-wise, it is 15.23% of the Zone population but only 2.27% of the Island's population. In Zone ill, 10.02% of the households are affected but they are only 1.03% of the Island's households. In terms of population, it is 5.92% of the zone's population and only 0.60% of the Island's population. Zone IV shows the highest incidence of poverty. As much as 28.90% of the households in the zone are affected and they represent 11.32% of the Island's households. In terms of population, it means 20.07% of the zone population and as much as 7.98% of the Island's population. Finally, Zone V (Colombo Municipality) indicates the poverty in the main City of the country. As much as 23.76% of the households are affected although they represent only 0.80% of the Island's households. As much as 21.02% of the City population is affected but it represents only 0.77% of the Island's population.
In the case of all zones, care should be taken in interpretation because each zone covers a number of Administrative Districts, each of which is different in its economic viability. Subsidiary data relating to districts (such as the numbers of landless, the average yield of paddy, the extent of urbanisation and its attendant employment opportunities) have to be taken into account in locating the incidence of poverty from district to district within each zone. On the face of it, Zone which covers 32.85% of the lsland's households located in the districts of Colombo, Kalutara, Galle and Matara on the Western seaboard (but excluding Colombo Munici
46

pality) is the best off. Only 1.42% of the zone households COvering 0.47% of the zone population are affected." In terms of the whole island this is only U.47% of the households and 0.15% of the population. This is a coastal area which is well roaded. It has trunk roads and a railway line across its length and these routes (besides other locations) are studded with townships affording employment opportunities. Numerous industries such as fibre and rope, brick and tile-making, fishing, Carpentry and handicrafts are well established in the region. It has been for long years well provided with educational institutions and a good part of it constitutes the dormitory area of persons employed in the Colombo City. Nutritionally, too, the area had ready access to coconut products, fish and fish pro ducts.
in the case of Zone V, Colombo Municipality, 23.76% of the zone households are affected, covering 21.02% of the 2One population. However, in terms of the whole Island it is 0.80% of the households and 0.77% of the population. This picture of the City of Colombo results from the congregations of low incorne workers, casual labourers, slum households and beggars and persons of no determinate employment. The chances are high that there is a considerable under-statement of income in this sector. Nevertheless the data indicate that the main pocket of urban poverty is in the City of Colombo. It is the segment which as incomes fall below minimum levels, becomes particularly vulnerable in nutritional terms in the urban environment where incomes in kind such as homegrown produce available to rural households are not normally availa
ble.
Zones I, II and IV present the case of rural poverty. In the zonal grouping of households the rural households and the estate households are taken together in each zone. Because of the presence of a larger number of income receivers in the average estate household, the per capita income within households at the lower income levels is more favourable in this Sector than in the villages. The worst affected is Zone IV which Covers 6 administrative districts with different agro-climatic Conditions and which holds 39.16% of the Island's households. in this zone 28.90% of its households are affected, covering 20.07% of the zone population. In terms of the Island as a
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whole, it is 11.32% of the households and 7.98% of the population. The situation in Zone IV calls for closer examination. In this zone, 23% of the housing units examined were on the estates. 23% of the 2100 households in this zone amount to 483 households. On the estates only 1.68% of the households had per capita incomes at or below the level of Absolute Poverty. This points to the fact that most of the 607 households in Zone IV showing Absolute Poverty were among the rural village households and not on the estates. It is likely that the percentage of rural households in Absolute Poverty is in the region of 30-35%.
Zone ll, which includes the Dry Zone, has 19.84% of the zone households covering 15.23% of the zone population affected by poverty. However, in terms of the whole Island this is only 2.85% of the households and 2.27% of the population. In zone ill, covering the Northern and the Eastern regions, 10.02% of the zone households covering 5.92% of the zone population is affected. In terms of the Island, it is only 1.03% of the Island's households and 0.60% of the Island's population.
This analysis of the location of poverty draws attention to several noteworthy features. The heaviest incidence of Absolute Poverty is still to be found in the Rural sector Despite the widespread programmes of social welfare which have been implemented during the last 3 decades, 26.6% of the households in this sector have a level of food consumption below the nutritional norm. The largest concentration of the rural podr are in Zone IV, and it is likely that within this zone which includes several districts with varying socio-economic and agro-climatic areas, it is the rural areas in and around the central hill region which are worst affected. The rest of rural poverty is spread less densely in Zone, and to a lesser degree in Zone ill. Another dense pocket of poverty already examined was in the Urban sector in the City of Colombo. As a proportion of the City population, the number of Spending Units below the Absolute Poverty line - nearly 24% - is comparatively quite high.
48

7. MOVING AWAY FROM POWERTY
In measuring Absolute Poverty in terms of a marginal Sufficiency of food it was seen in the sector-wise analysis that 76.5% of the households affected were in the household inCome group Rs. 201-400 for 2 months and most of them were in the Rural sector and none in the Estate sector. The nutritional vulnerability of this household income class is apparent in the manner in which the next higher income class (for which detailed data is available) has moved out of this position. In this next income class (Rs. 401-800 for 2 months) the average expenditure on food increases substantially and, considering Sectoral price differences, the amount of food purchased seems to get more stable. The per capita consumption of 'Kurakkan, Maize, Sorghum" and of starch foods other than rice and flour, actually drops at this income slab.
Table No. 15 sets out the position. On an All-Island basis the average household in the Rs. 401-800 group spends Rs. 133.47 more on food. There is an increase of 17.5% in the per capita outlay on food. But this is the average over a broad income slab. Within this slab, the median, in the ranked spending units, falls into the income group Rs. 501-600 for 2 months which on the average has 5.8 members in the household. The average number per household for the entire slab Rs. 401-800 is also 5.8. The increase in per capita food consumption has taken place despite the increase in the average household size from 4.2 members in the income slab Rs. 201-400.
The increased outlay also represents an improvement in the quality of per capita consumption. The examination of the per capita outlays on a selection of items confirms this and this is shown in Table No. 16. It will be seen that the increases in per capita expenditure on starch foods is small. Expenditure On other grains' has actually dropped. The expenditure on eggs has risen by 104%, on meat by 77%, on milk and milk products by 59% and on fish by 41%. A good indicator of the
49

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improvement in the children's diet is seen in the rise in the total household expenditure on milk and milk products. For the all-island data it is a rise of 121%. In the Urban sector it is 124% and in the Rural it is 141%. In the Estate sector where the milk consumption at the household income level Rs. 201-400 was double the national average for that income group, the rise was 45% (Survey Report, Vol. I, Tables S 593 to S 596).
The process of moving away from poverty is not so much an improvement in the quantity and quality of the diet as it is of a change in the entire pattern of life of the people. The increases in a number of non-food items of expenditure show to what extent 'felt needs' were of necessity suppressed in the poor households. The items where the increases appear are the very ones that provide the household a decent human existence, a minimum of social life and a satisfaction of "basic needs'. The overall pattern of change towards satisfying basic needs is shown in Tables 17 and 18. It will be noticed that in the case of footwear and clothing, the per capita outlay rises by 119% in the all-island analysis. It moves up by 76% in the Rural sector where most of the people live. In 'Recreation, Entertainment and Ceremonial' the all-island per capita change is 95% and in the Rural sector it is an increase of 107%. In Education and related expenditure - i.e. buying of reading matter - it shows a rise of 121% all-island and the same percentage rise in the Rural sector.
Another sensitive area of expenditure is that of housing. In the Urban and Rural sectors there is an increase in outlay of 74%. Even in the Estate Sector there is a rise of 31%. In the Sri Lanka situtation the purchase of jewellery for the female members of the household is considered a social necessity even among the poorer classes. The six-month outlay at the all-island level shows a rise of 127%. In the Rural sector it is 125%. In the case of the Estate sector where the expenditure on furniture, for example, is negligible, partly because of poor housing, the outlay on jewellery rises by 108%.
A much more elaborate examination of data, both at the macro level and at the mirco level is necessary before one can reasonably establish levels of expenditure on the various as
50

pects of living at which "basic needs' would be satisfied in the different socio-economic sectors. It should be noted that the experience of poverty is actually related not only to the flow of current income but also to the stock of captal assets access, i ble to and used by the persons concerned. The Survey of Consumer Finances 1973 did not assess the stocks of household assets (i.e. furniture, furnishings, equipmont and appliances of various kinds, stocks of clothes and linen, Crockery, cutlery etc.) held by households at different levels of household income in the different sectors. Nevertheless the change in the pattern of current expenditure can indicate the change in well-being. With every upward change in income the households attempt to overcome what they themselves Consider to be their most serious privations.
The Estate sector presents special problems of relative privation in relation to housing and education, which are dealt within a subsequent section of this study. Even if the estate households are given some marginal increase in income very little or nothing more might be achieved in these two dimensions of well-being. With that reservation in mind we examine the progress in consumption in the next slab of household income in the Survey for which details of average consumption are available. It is the slab Rs. 401-800 for two months which also holds the median household income for the whole Survey. This slab is sub-divided (in terms of income data only) into sub-slabs of Rs. 401-450, Rs. 451-500, Rs. 501-600, Rs. 6O1-7OO and RS. 701-800 for 2 months. The median both for this slab Rs. 401-800 as well as for the island's total households falls into the sub-slab Rs. 501-600 for two months and it would roughly be the income level at which the average levels of consumption in the slab Rs. 401-800 is reached. At this income slab the all-island per capita income within a household is Rs. 94 for two months. For the Urban sector it is Rs. 101.43, for the Rural Rs. 91.93 and for the Estate Rs. 100.61. Rs. 94 may be taken as a rough and ready measure of per capita income at which the satisfaction of basic needs may be met
The households falling short of Rs. 94 per capita for two months is set out in Table 19.
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It will be noticed that sector-wise, the Urban sector comes off best. Only 6.45% of the Urban sector households showed Serious nutritional deficiency (i.e. absolute poverty) and only 31.67% appear to be short of "basic needs". They constitute 6.04% of the island's total households. The Estate sector comes next, but it shows a remarkable change in relative position. Only 1.68% of the Estate sector had shown serious nutritional deficiency in 'basic needs'. Estate incomes cluster above the level of Absolute Poverty but the greater part of them do not rise very much higher.
In the Rural sector, 26.06% of the households had shown Absolute Poverty. As much as 66.79% show a shortfall from the 'Basic Needs' standard. They constitute 47.36% of the island's households. For the island as a whole 58.71% of the households show up as falling short of basic needs in the Sector-wise analysis.
The Zone-wise analysis shows that Zone 3 (i.e. Jaffna, Mannar, Vavuniya, Trincomalee, Batticaloa) is best off with 22.04% of the households below the basic needs Standard. In this Zone a large number of households cluster above the per capita income level of Rs. 94 for two months or higher. Zone 3 had only 10.02% of the households below the Absolute Poverty line.
The prosperous Zone 1 (Colombo, Kalutara, Galle, Matara
Districts, exclusive of Colombo Municipality) which showed
that only 1.42% of the households suffered Absolute Poverty
displayed a 33.94% short of 'basic needs'
Zone 5 (Colombo Municipality) which showed 23.76% of the households indicating Absolute Poverty revealed only 35.91% of the households below the basic needs standard.
Zone 2 which showed 19.84% of the households below the Absolute Poverty line showed 63.81% below the basic needs level. As may be expected the poor Zone 4, where as much as 28.90% of the households showed a shortfall amounting to Absolute Poverty as much as 70.85% failed to have a per capita income of Rs. 94 for two months, i.e. an inadequacy in basic needs.
For the su as a whole the Zone-wise analysis shows up 51.52% of the households as falling short of basic needs.
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56

8. POWERTY AND THE INCOME
RECEIVERS
In the Survey of Consumer Finances 1973, the analysis done in terms of Spending Units does not indicate the earning opportunities and income patterns in terms of sex and of Communities. Some data on this is, however, available in terms of the Income Receivers including their Sector-wise position. The level of income of an income receiver, however, is not by itself any indicator of poverty or prosperity within a household. While this level of income contributes to prosperity, the number of income receivers within a household and the number of dependants turn out to be critically important for determining the economic status of the low-income households.
The average incomes per household and per income Receiver in the respective sectors is given in Table 20. Incomewise, the Urban sector is best off. In this sector, there is a Concentration of secondary and tertiary stages of production and there is also a wide spectrum of activities that provide opportunities for employment. There is, however, a similarity between the Rural sector and the Estate sector in regard to the average income per Spending Unit and the average per capita income within Spending Units, but the number of income Receivers per Spending Unit is 2.41 for the Estate sector and only 1.26 for the Urban and Rural sectors respectively.
The average income per income receiver is lowest in the Estate sector. This is partly because the women employees in the Estate sector constitute as much as 48.96% of the Income Receivers whereas it is around 19% in the Urban and Rural sectors. Women are generally paid less than the men and in thr Estate sector the legally-controlled wages of women (and ní r.hildren i al SO Show thiS differen Ce.
57

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TABLE 20 AVERAGE INCOM ES PER HOUSEHOLD/SPENDING UNT AND PER INCOME RECEIVERS
All Income All
Grouρς Urban Rural Estate
1, Average income per Spending Unit 621.57 794.71 582.14. 570.91 2. Average per capita income per Spen
dinq Unit •’. ... 116,60 151.37 108.41 110.43 3. Avence income per income Receiver 445.01 632.68 446.48 236,71 4, Average number of income Receivers
per Spending Unit .. 1.36 126 1.26 2.41 5. Average number of dependants per
Household •’. •’း 4.18 4.32 4.32 2.79
The Survey of Consumer Finances 1973 shows that as much as 85.65% of the Women income Receivers on the Estates earn less than Rs. 200 for two months. The corresponding figures for the Rural sector is 52.49% and for the Urban sector 37.60%. Many of the women may not be in regular full-time employment (Reference: Survey of Consumer Finances 1973, Vol. I, Tables -10 to I-13).
Income Receivers who are children are another feature to be noted. Only 3.66% of the Income Receivers in the Island are aged 18 years or below. In the Estate sector, 7.26% of the Income Receivers in the sector are of this age as against 2.99% in the Rural sector and 2.49%in the Urban sector. In terms of earring-power, as much as 91.49% of this age-group in the Estate sector earn less than Rs. 200 for two months, The corresponding figures for the Rural and Urban sectors are 73.94% and 65.63% respectively (Reference: Survey of Consumer Finances 1973, Vol. I, Tables I-10 to 1-13).
The sector-wise and zone-wise pattern of the average 2-month income of the island's Income Receivers is given in Table 22, it will be noticed that the mean income and the median income of both male and female income Receivers are lowest in the Estate sector. The female income receivers fare relatively well in the Urban sector where professions and skilled jobs are Considerable. Their favourable position in Zone III may be accounted for by the presence of skilled crafts (in weaving and the textile industry in particular) in parts of
58

this zone such as Jaffna. But they constitute only 6.88% of the Income Receivers in the Zone.
As already stated in this study, the income accrued by an Income Receiver is both income in Cash and income in kind, The Sources of income may be numerous and of various kinds such as profits, interest and dividends, professional earnings, salaries, wages etc. For example, the income of an Estate labourer (who owns no and or equipment) is solely wage for abour whea reas the income of a farmer is a return for his labour plus an element of interest on his owned equipment-ploughs, buffaloes and other auxiliaries of Cultivation - an element of rent on his owned land, if any, an element of profit on his enterprise and risk-bearing and also a benefit accruing from the unpaid services of his household in the agricultural operations. For this reason, a direct Comparison between income of Income Receivers between sectors has to be done with caution and not treated as wage rates.
The next aspect is the geographical distribution of Income Receivers in terms of the different communities in the country. At the Census of 1971, the ethnic distribution of the population was determined. In Table 21, we present the ethnic distribution together with the percentage-wise distribution of Income Receivers.
TABLE 21 ETHNIC DISTRIBUTION OF INCOME RECEIVERS
% of *% of totas
Ethnic group population income Receivers
Low Country Sinhalese ..'. 42.8 41.07 Kandyan Sinhalese •’း •’း 29.2 25.78 Ceylon Tamils .. .. 11.2 10,77 Indian Tamils •’း .", 9.3 15,77 Moors ,'. ."، ..'. 6.7 h− 5,77 Malays „“. .. ،". 0.3 O.26 Burghers ..'. .. 0.4 0.41 Others '. .. 0.1 0.16
Source: Survey of Consumer Finances 1973, Vol. II and Marga Institute,
In the case of the Indian Tamils, because the women and children contributing to production are recorded as separate
59

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Income Receivers, the numbers of income receivers are more than in proportion to the population.
The broad sector-wise distribution of the ethnic groups show certain characteristics. As much as 55.87% of the Urban Income Receivers are Low Country Sinhalese and only 7.78% are Kandyan Sinhalese, whereas 15.87% of them are Ceylon Tamils and 12.06%. Moors in the case of the Rural sector, 47.51% of the Income Receivers are Low Country Sinhalese and 36.62% are Kandyan Sinhalese. In the Estate sector, 80.39% are Indian Tamils.
Zone-wise, as much as 69.92% of the Low Country Sinhalese are in prosperous Zone 1 and they constitute 86.58% of the Zone income Receivers. As much as 81.84% of the Kandyan income Receivers are in Zone IV which had the highest incidence of Absolute Poverty. They constituted 48.94% of the Zone's income Receivers. Another 31.59% of Zone IV income Receivers were Indian Tamils. In the case of the Ceylon Tamils, 58.17% of the income receivers were in Zone ill and they constituted 75.24% of Zone II income receivers. The Moors are well represented in each zone but 30.49% are in Zone II and 23.16% in Zone IV. As much as 17.96% of them are in Zone l. The Income Receivers in Colombo City are predominantly Low Country Sinhalese and they account for 43.27%. The Kandyan Sinhalese constituted only 5.31%, the Moors 18.78% and Ceylon Tamils 16.33%. The overall zonewise picture is given in Tables 23 and 24.
The different zones and sectors have their distinctive characteristics in regard to the social and industrial capital, rainfall, duality of land, government infrastructures, advantages of situation (e.g. Colombo Port and the government and mercantile establishments in Zone V) etc. Communities that are concentrated in the well-appointed sectors or Zones generally enjoy these locational benefits which are in addition to their opportunities for earning a money income and the actual money income earned.
60

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TABLE
NCOME RECEIVERS BY COMMUNITY AND
23
(Total it come Receivers 7326)
Urban Fura/ Estate Tota/
SECTORS
%
Kandyan Sinhalese 1 OO
1738 51 1889 25.78 Low Country Sinhalese 718 2255 36 3OO9 41,07 Ceylon Tamils .် 204 441 144 789 1 O.77 Indian Tamils 62 52 1041 1155 1577 Moors ... 155 251 17 423 5.77 Malays . . . a 17 -- 2 19 O.26 Burghers 24 5 1 30 O41 Others ... 5 4. 3 12 O16
Total ... 1285 4746 1 295 7326 1 OOOO Percentage 1768 64.78 1768 1 OO
Source. Survey of Consumer Finances 1973, Vol. I and Marga Institute
TABILE 24 INCOME RECEIVERS BY COMMUNITY AND ZONE (Total income Receivers 7326)
Zone Zone Zot) e Zone Zone Tota/
f // /// f V V
Kandyan Sinha lese 66 254 10 1546 13 1889 Low Country Sinhalese ... 2104 437 38 324 106 3OO9 Ceylon Tamils 56 53 459 181 40 789 Indian Tamis 1 O7 7 20 998 23 1155 Moors - - - 76. 129 74 98 46 423 Malays . . . 5 V− − 1 13 19 Burghers ... - - - 16 --- 7 4 3 3O Others -- - - - 2 2 7 1 12
TOta|| 243 ... ܚO 882 61 O 3159 245 7326
% of Total ... 33.17 12.04 8.33 43.1 2 3.34 1 OO
Source Survey of Consumer Finances 1973, Vol. and Marga Institute.
62

9. THE CHANGES BETWEEN 1963 AMD
1973
The data of the Survey of Consumer Finances 1973 may be compared with the data of the Survey of Consumer Finan Ces 1963.
The changes in the average incomes between 1963 and 1973 are given in Table 25. Total mean income in 1973 at 1963 prices had risen by 10.74% but in terms of industries the change has been varied. There has been a 46.56% rise in the mean incomes in the section 'Electricity, gas steam, water and sanitary services' and a 24.17% rise in the section 'Hunting and Fishery" which is almost entirely Fishing". In the general 'Services' section there was a drop of 26.30% and a drop of 23.58% in the section 'Mining, quarrying, clay and Sand".
The 10-year Change is also reflected in the average 2month income of Income Receivers and of Spending Units as presented in Table 26.
AB E 26
CONSUMER FINANCE ESTIMATE OF AVERAGE 2-MONTH NCOME OF INCOME RECEIVERS & SPENDING UNITS (RS)
Years
Average 1963 1973
1. Mean income per income receiver 267 455 (299) 2. Median income per income receiver 166 360 (237) 3. Mean income per Spending Unit ... 385 622 (409) 4. Median income per Spending Unit "... 260 500 (329)
Wote. The figures at 1963 constant Prices are given within brackets Source. Survey of Consumer Finances. 1973, Tables 42 and 44.
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As an indicator of the average level of income, the median income is more meaningful than the mean income. When the median is taken as an indicator the increase in the average level of income of the Income Receivers from 1963 to 1973 is substantial; when viewed in terms of constant 1963 prices, the increase in the average real income per income Receiver during the decade was 43% for median income as against 12% for mean income. For the mean income and median income of Spending Units, the changes were 6% and 27% respectively.
The large difference in the two rates was due to the reduc tion in the inequality of income between 1963 and 1973
The deflator used in the Colombo Consumers' Price in dex which despite its defects is the best available. 'Income group specific' cost of living indices are not available for evaluating the change for specific income groups or for specfiC sectorS.
At the level of prices and wages prevailing in 1963 and in 1973, the comparative income status of Spending Units also shows the trend towards the elimination of vast disparities of incomes between the rich and the poor. Table 27 gives the Comparative Sector-wise changes during the decades.
The distribution of the Spending Units among the different grouping of their incomes reveals the extent of the relative gains of the lowest income groups. The gains in the income groupings up to Rs. 201-400 for two months are considerable. The income group Rs. 401-800 has increased in size and the increase in the group Rs. 801-1600 is also noteworthy.
The change over the period 1963 to 1973 in the case of Income Receivers, at Current prices, comes out very sharply when the in conne Receivers are ranked from the lowest to the highest in income and the deciles juxtaposed. Despite changes in the cost of living, the gains are noteworthy. The changes for the lowest four deciles of Income Receivers are given in Table 28. The income more than doubles in each instance.
64

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66

TABLE 28 NCOMES PER INCOME RECEIVER: AL-SAND CHANGES N LOWEST FOUR DECLES
Per Capita Income of Income range Income Deciles Year RS/2 months Receivers
ARS.
1 1963 O 75 31.40 (Lowest) 1973 O 1 25 82.15
2 1963 51 75 to 76 . . 1 OO 7 186
1973 101 15O to 151 175 144.21
3 1963 7{ 1 OO to 101 125 94.98 1973 151 175 to 201 250 2OOOO
4 -1963 1 O1 125 to 126, 150 120.49 1973 2) 1 25 O tO 251 - 3 OO 259.67
| 963 DeCle A78 income Receivers 1 973 DeCle 733 | nConne Receivers
Source. Survey of Consumer Finances 1963 and 1973.
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10. PRIVATION IN EDUCATION
In the world today, the lack of at least some primary education is a serious privation of basic needs and it limits one's capacity to participate adequately in the social and political life of the community. In many developing countries this problem presents itself in a radical form as a lack of literacy. In the case of Sri Lanka illiteracy is not a serious problem and it is on the way out. In the Socio-Economic Survey 1969/70 where data was sought for literacy (i.e. the ability to read and write with understanding a short paragraph in any language). It was found that for persons over 10 years of age (in respect of whom data was sought) 82.1% were literate. Among the males over 90% were literate while among the females it was around 75%, the highest rate of literacy (91%) was in respect of persons in the age group 10-24 years and they have had the benefit of free education which in Sri Lanka includes University education. Section-wise, in the Urban sector nearly 89% over 10 years of age were literate. It was 84% in the Rural sector and only 65% in the Estate sector where facilities for schooling are still very limited. Zone-wise the literacy rate was highest in Zone inclusive of Colombo Municipality. Many parts of this Zone have had the benefit for many years, of government, denominational and other private schools. The literacy rate was lowest in Zone IV. For the island as a whole the position has considerably improved over the years.
The 17.9% illiteracy shown up in the Socio-Economic Survey 1969/70 is not directly related to poverty as such. Large numbers of the oldest age groups and of the females, particularly of the older age groups belong to all income classes; but this is not to deny that there is a hard residue of illiteracy among the poorest.
What is found today among the poorest is not so much illiteracy as a low level of primary education. Micro-studies
68

have revealed that except in parts of the Estate sector access to adequate education is universally present and the non-use or limited use of these facilities for Primary education by the households in Absolute Poverty are no more than it is among the somewhat better-off people in their neighbourhood. The ability to read and write is valued even among the poorest and the younger generation is as a whole acquiring it. Among the poor there is however some scepticism about the economic gains of pursuing secondary education. The poorest household would no doubt feel the effect of providing the children with clothes, books, cost of transport etc. to keep them in school for longer years. The presence around them of unemployed youths with secondary education would inhibit their making sacrifices for going beyond primary education. In these circumstances the pressure to add one more earning member or a person contributing to the family's production activities becomes more important.
The relationship of Education to Unemployment was examined by the Socio-Economic Survey 1969/70 in the age group 15-59 years. The all-island results are as follows:
Unemployed Population (15-59 Years) by Level of Education - All-island
Percentage of
if IE Level of Education Total Unemployed
No Schooling 5.5 Primary 22.5 Middle School 44.6 Passed G.C.E. (O.L.) 24.1 Passed G.C.E. (A.L.) and over 3.3
100,ᎪᏣ
As a result of about three decades of free education the majority of the unemployed are in the age groups around 19-25 years and those with middle school education. Unemployment of this kind is spread over all income classes and the middle class households carry a fair burden of unemployment among children with secondary or higher education. There is the vexed question of matching the educational skills turned out in the country and the job vacancies that prevail. There are longer periods of waiting from the time a youth leaves school and secures a job. The poor as such suffer more
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from underemployment than unemployment. There is an inadequacy of assets and resources for self-employment. Despite their willingness to accept semi-skilled or unskilled jobs they experience difficulties in securing steady employment.
In this context it may be mentioned that in the past three decades education has provided an upward social mobility from among the poorer classes and in this process employment has been secured by some in the public and private sectors as well as the professions. The changes in the pattern of inCome-Classes from which students have entered the University during the last three decades is itself a pointer towards the general trend.
In 1973 the Survey of Consumer Finances also examined the general educational pattern in the country. Some of the relevant findings are presented in Tables 29-31.
They give the percentage distribution of the population with a particular education, by sectors and zones, the change between 1953 and 1973 and Education classified by Community. In these Tables it should be noted that 'no schooling' also includes children too young to attend school.
The progress shown is noteworthy. Despite this, the Estate sector still lags behind. The shortcomings within the Estates become apparent when we compare the situation (Table 29) between the Estate sector and Zone IV where most of the Estates are located. In Zone IV, 32.29%, are graded as "no schooling - illiterate" whereas in the Estate sector it is 44.11%. In secondary education Zone IV as a whole has 20.41%. In the Estate sector it is only 6.25%. The villagers in Zone IV though disadvantaged in food are not as disadvantaged in Education.
70

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11. HOUSING DEFICIENCES OF LOW
NCOME HOUSEHOLDS
It is a truism that the poore are ill-housed. It is the poor Who invariably carry the greater part of the burden of deficienCies revealed in the national data on housing. Nevertheless the incidence of these privations is not uniform in the different Sectors and zones. The main complaints made by households of the lower income groups at the different surveys were the shortage of space and the lack of privacy. The sectoral and Zonal analysis of housing conditions which follows attempts to depict some of these sectoral and Zonal variations. The analysis also provides a framework within which some of the findings of the micro-studies would be more clearly interpreted and understood.
The Consumer Finance Survey of 1973 collected data in terms of Sectors and Zones on housing, sanitation and the availability of amenities and equipment. In the survey, 5088 houses were examined and they were occupied by 5363 Spending Units. There were instances where more than one Spending Unit occupied a house and shared the facilities and amenities. The distribution of these amenities in terms of Income Groups of Spending Units is not available. However, the sector-wise and zone-wise picture indicates the extent to which the poor in the respective sectors and zones are deprived of these amenities.
in assessing adequacy we may, however, take into account the following:-
(a) durability and type of materials of construction — partiCularly of the walls, roof and floor. In the case of the poor where a majority sleep on the ground on mats, a cemented floor is a 'felt need'
74

(b) space per person. A low figure of space approaching 50 sq. ft. per person may be taken as a measure of adequacy for low-income households when taking into account the living rooms. For these households, roomwise adequacy would demand a minimum of 2 rooms,
(c) access to toilet facilities;
(d) access to drinking water.
AS household income level rises, particularly in the Urban areas, Space-wise advantages are often discounted for other gains such as availability of electricity, water on tap, toilet facilities and installed household equipment or other amenities.
Families also tend to discount one or more of the elements of adequacy in favour of living in their owned premises, nearneSS to Schools and work places and advantages of various amenities and of location.
Nevertheless, it is a combination of these four features mentioned above that predominantly influence the choice of housing units by households as they go up in the householdincome scale from a level of Absolute Poverty. Once the struggle for shelter and bare physical space is overcome, the demand emerges for houses of better materials, amenities and a better organisation of space.
The poor households that suffer Absolute Poverty are the ones most exposed to suffer housing deficiencies but one or more of these deficiencies continue to be associated with households somewhat above Absolute Poverty.
inadequacies noted in the Survey
In Collecting the data on housing, the Survey of Consumer Finances counted as a "room' the living rooms, storerooms, bedrooms, kitchen and enclosed verandahs but not the bathrooms, atrine or open. Verandahs,
In the Country as a whole, in terms of the above definition, two-roomed houses were most common. In the Urban and Rural sectors three-roomed houses were the commonest while in the Estate sector they were two-roomed houses.
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The report brings out the fact that the average number of persons per room was 1.72 in both Urban and Rural sectors while it was as much as 2.4 in the Estate sector. In the Urban and Estate sectors the average crowding in the single-roomed houses was 4.23 and 4.54 persons respectively and in the Rural sector the crowding in such houses was a little less at 3.81 (vide Table 32).
It is the one-roomed house which is the most acute manifestation of poverty. It is a bare shelter in which men, Women and children have to live without any specialised use of space. It is the Absolute Poverty line for housing. By this measure the Estate sector is the most deprived with 30.57% of the houses in that state and an average occupancy rate of 4. 54 persons. As against this (vide Table 32) the other two sectors are much better placed. The Rural sector which suffered privations in diet comes off best with only 10.2% of the houses being of the one-roomed type. Taking one-roomed and tworoomed houses together, we find that in the Estate sector it accounted for as much as 74.9% of the Estate housing; in the Urban sector it was 34.91% and in the Rural sector it was 36.92%.
lf we take a house with more than two persons per room as overcrowded, then, roughly 40% of the houses were overCrowded.
Sector-wise, for the Urban. Rural and Estate sectors, the overcrowded house weres 35%, 37% and 75% respectively.
This data shows the inadequacy of housing in the Island as a whole. It is in this context that we have to view the housing conditions of the poor. Furthermore, in the Estate sector the householders do not have a choice in regard to housing. The houses are provided by the proprietors.
According to the Survey of Consumer Finances 1973 (Vol. l, Tables P101 and P102) some of the main housing deficiencies were as follows:-
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TABLE 33
SHORTCOMINGS IN HOUSING FACILITIES
Urban 1. One-roomed houses 1160 2. Overcrowding (room-wise) 35 3. Housing without cement floors 26.32 4. Without tiled or asbestos roof 48.98 5. Without latrine 39.1 6. Without pipe-borne water inside
or Outside house 519
% fura / %
10.2O 37 57.24 55.99 43.6
96.O
Most Estate line rooms have roofs of G.I. Sheeting.
Estate %
30.57 75
90 82.45 29.4
12.4
With regard to flooring, as much as 44.87% of the island's houses have clay flooring. Together with pressed earth flooring it adds up to 53.95%. Flooring is important in the case of lowincome households in the Island because most of these people sleep on the ground on mats. The distribution of cement-floored
houses is given in Table 34.
TABLE 34
HOUSES WITH CEMENT FLOORING
With cenent
With cennent
floor as floors as Tota/ percentage percentage houses in With cennent of Sector/ of Island's
sample flooring Zone Hou Ses 5O88
Urban 931 686 73.68 13.48 Rural 3627 1551 42.76 30.48 Estate 530 53 1 O,OO O2O
Zone ! 1641 1 O3O 62.76 20.24 Zone || 725 332 45.79 6.53 Zone III 531 251 4747 4.93 Zone FV 2028 550 27.12 10.81 Zone W 163 127 77.91 2.50
All-Island ... 5088 2290 45.01 45,01
Source. Survey of Consumer Finance, Vol. II, Tables P101, P90.
In regard to water supply, the availability of pipe-borne water inside or outside the house is not a measure of adequacy in regard to drinking water. A good well serves the purpose, but the quality of water from Tanks, Rivers and Streams is
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highly variable. The Socio-Economic Survey 1969/70 gave the overal picture of water supply in a more adequate form. This is given in Table 35.
6% of the housing units in the Island depend on Tanks, Rivers and Streams for their water supply. It is made up of 7.3% of the Rural households and 6.4% of the Estate households. Zone-wise, it is 11.9% for Zone II (Hambantota, Moneragala, Amparai, Polonnaruwa, Anuradhapura and Puttalam) and 1 0.5% in Zone IV (Kandy, Matale, Nuwara Eliya, Badulla, Ratnapura, Kegalle and Kurunegala).
Ownership pattern, type of houses and housing Space
At the Socio-Economic Survey of 1969/70 there were 2,096,737 housing units. Of these, 16.4% were in the Urban Sector, 71.8% in the Rural Sector and 11.8% in the Estate Sector.
For the Island as a whole, 68.7% of the houses were Owner-occupied, but Sector-wise, it was 85% for the Rural Sector and only 3% for the Estate sector, where the living quar
ters are generally provided free of rent by the proprietors and located within the Estates. As much as 97.1% of the Estate Housing fell into this category.
For the Island as a whole, 74.4% were single houses and 18.4% attached houses - the rest being flats, annexes etc. including 1.9% comprising "improvised structures". In the Rural sector, 88.8% were single houses and in the Estate sector only 6.4% were single houses. As much as 89.6% were attached houses, generally called 'line rooms'. In the Urban Sector, single houses comprised 61.1%.
The Estates had only 0.2% 'improvised structures' but it was 2.5% and 2.1% for the Urban and Rural sectors respectively. These are invariably occupied by the poverty group.
At the Census of Housing done in 1971, there were houses with the outer walls of Cadjan, palmyrah or straw. They constituted 5.3% of the Urban houses, 5.7% of the Rural and O.2% of the Estate.
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As a measure of minimum adequacy, we may take it that a house should have at least two rooms. By this measure, according to the definition of a room used by the Socio Economic Survey 1969/70, as much as 17.7% of the Urban, 16.9% of the Rural and 50.1% of the Estate houses had only one room. By the definition of the Census of Housing in 1971 which refers to living rooms, 31% of the Urban houses, 28.5% of the Rural and as much as 70.9% of the Estate houses had only one living room. We have already noted (Table 32) that by the definition used by the Survey of Consumer Finances it was Urban 11.6%, Rural 10.2% and Estate 30.57%.
Space-wise, one may take an area approaching 50 Sq. ft. per head as minimally adequate.
In this regard we notice that numbers in a household increase with the income of the household. If we take all inCome groups and the a/-island picture, housing is marginally adequate, space-wise, at about 250 sq. ft. per household. This is also so for the average household of the income group below Rs. 200 per month. However, the all-island income group Rs. 200-399 per month shows some inadequacy at 249 sq. ft. because of the higher occupancy rate. This is so even though the quality of housing is better at higher income levels.
We have already seen that the distribution of households suffering acute poverty are located in households with income slabs up to Rs. 400 for 2 months or Rs. 200 per month. The average number in households in terms of income slabs was given in the Survey of Consumer Finances and was set out in Table 3. Space-wise, adequacy for these groups at 50 sq. ft. per head would mean 100 sq. ft. up to households with inComes of Rs. 150 for 2 months. Such h useholds were very few. It was 200 sq. ft. up to Rs. 300 for 2 months and 250 sq. ft. for household incomes at Rs. 400 for 2 months.
Data on the housing conditions (including the space occupied) is not available for small slabs of household income. However, the Socio-Economic Survey of 1969/70 gives data on the floor area of houses of households with income 'below Rs. 200 per month" (i.e. for the classification of Rs. 400 for 2 months in the Survey of Consumer Finances).
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The relevant data from the Socio-Economic Survey 1969/70 for the low income households are given in Tables 36 and 37.
The income slab 'below Rs. 200 per month" is a large one with considerable variations in household sizes for the different household income layers. The occupancy rates given in the Socio-Economic Survey are a little higher than what is Suggested in the Survey of Consumer Finances for the low income household groups.
If we go by magnitudes, it is possible that up to about 50% of the Urban households in the income group "below Rs. 200 per month' suffer space-wise inadequacy. It is up to about 35% for the Rural and about 75% for the Estate sector for the household income class below Rs. 200 per month.
Not all in this income class suffer Absolute Poverty, but all the households (sector-wise) that suffer Absolute Poverty are of the household income class below Rs. 200 per month.
In terms of floor space, as much as 79.1% of the Estate housing was less than 249 sq. ft. (Table 37) for the household income class below Rs. 200 per month. It was 50.7% for the income class Rs. 200-399. These two income classes constitute 94.9% of the Estate households.
The Estate housing units which constitute 11.8% of the Island's housing units provide for a captive labour force resident on the plantations. A willingness to pay higher rents cannot alter their housing position.
The Estate sector has therefore to be treated as a special situation in regard to housing. In the Urban and Rural sectors, the ability and willingness to make a higher outlay on housing has some meaning. It is only these two sectors that should be taken into account in assessing the average household income level at which adequate housing is possible for a household even though it may discount some element of this for other gains.
Sector-wise, different groups are poor in relation to different needs. The Estate sector, for example, with its high preference for food and a better choice of foods is not as
8O

deprived in relation to food as the other sectors at the same household income level. Likewise, the Rural sector shows less space-wise privation in regard to housing though the quality of the building materials may be inferior to that of the Urban sector which is governed by local government regulations. Nevertheless, the Urban sector has its quota of improvised shacks in the slum areas which present an almost insoluble problem to the local authorities.
The overall picture of the housing deficiencies has been outlined and generally the poor households are the ones that bear most of the burden of these shortcomings.
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12. POVERTY AND THE AGRICULTURAL SITUATION
We have seen that the condition of poverty depended on the per capita resources within a household or Spending Unit. We have also seen the pattern of distribution of households below the Poverty Line in terms of Sectors and Zones regardless of the sources of income of these households. In a general Way, We also know that the agricultural activity in Sri Lanka fall either into the Rural sector which holds 70.91% of the total Spending Units in the sample or into the Estate sector which holds 10.01% of the households. But the data available in the Survey of Consumer Finances is insufficient to examine the Condition of poverty or prosperity within households which are dependent on agricultural activities for their income.
Data are however available in terms of /ncome Receivers who are dependent on agriculture as their main source of income by more than one income receiver. On the average, there are 1.26 income Receivers per Spending Unit in the Urban and Rural sectors but there are 2.4 income Receivers per Spending Unit in the Estate sector. With this in mind, we may first look at the general distribution of Income Receivers whose source of income is Agriculture and then look at their income levels,
Of the total of 7326 Income Receivers falling into the sample in the Survey of Consumer Finances as much as 3654 or 49.8% were classified under the main categories of agricultural occupations (Vide Survey of Consumer Finances 1973, Vol. II, Tables P54 to P71, Page 43+), their zone-wise and sector-wise distribution in the different agricultural operations is presented in Table 38. Of this total of 3654 income Receivers as much as 42.45% were scheduled as Farmers and 33.77% as Tea Estate Workers. The Rubber Estate Workers were 7.53%. Another 15.46% were classified under the three other categories of General Farm Workers. Field Crop and Vegetable Farm Workers and 'Other Agricultural Workers'
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Sector-wise, of this 3654 income Receivers in agricultural operations, 64.72% were in the Rural sector and 33.22% in the Estate sector.
The comparative levels of the mean income of these categories of agricultural Income Receivers show that the independent Farmers are best off and the Estate workers are the worst off. This is largely because 48.96% of the Estate Income Receivers are women (who are paid at lower rates and may not receive regular employment) as against 19.91% in the Rural sector. Furthermore, while the women on the estates are recorded as independent workers the women in the village contributing to the agricultural production of the family are not recorded as independent income receivers. The comparative position of the main classes of agricultural income receivers is given in Table 39.
The Survey of Consumer Finances 1973 also classified the Island's Income Receivers by Type of Industry (Page 191, Table 154). Under the classification 'Type of Industry - AgriCulture', there were 3682 agricultural income receivers in the sample. In this classification detailed information was given on the two-month incomes of the income receivers for different income slabs. The information in terms of income slabs up to the slab Rs. 201–400 for 2 months is given in Table 40. For the Urban and Rural sectors where, on the average, there were 1.26 income Receivers per Spending Unit, this income distribution is a slightly understated position of the Household income of households dependent on agricultural activities. For the Estate sector where on the average there are 2.41 income receivers per household, this distribution does not indicate the households economic status. Nevertheless, the data show that, of the agricultural income receivers in the Rural sector, as much as 53.49% receive incomes below Rs. 400 for 2 months. In, the Estate sector, it is as high as 93.2%. In Zone II and Zone III where Estates are absent, 39.96% of the total agricultural income receivers and 41.76% respectively receive incomes below Rs. 400 for 2 months.
Zone IV calls for closer examination. As much as 67.83% of the income receivers in this zone are in agriculture and the zone holds 58.53% of the Island's agricultural income recei
86

vers. They are in both estate and non-estate agriculture. As much as 23% of the households in this sector fall into the estates. Over 90% of the Tea estate workers of the island are in this zone. At the same time, it holds 43.6% of the independent Farmers of the island and 49.6% of the non-estate agricultural workers.
A little more than half the agricultural workers (54.8%) in the zone are Estate workers and the balance in non-estate agriculture. In this situation, as much as 76.2% of the total agricultural Income Receivers get 2-month incomes below RS. 400.
Zone I, like Zone IV, is relatively large and it holds 20.86% of the island's agricultural income receivers and they constitute 31% of the total income Receivers in the Zone. Seven percent of the households in this sector fall into the Estates. In this sector too, as much as 64.9% of the agricultural income receivers receive 2-month incomes below Rs. 400.
The data suggest that a large proportion of the income receivers in agriculture receive low incomes and for the villages it also indicates low household income. This view is strengthened when we examine the mean and median incomes of agricultural income receivers in comparison with that of other occupations in the Rural and Estate sectors. The position is presented in Table 41.
But for the few factory operatives and clerks, the level of income of Estate workers is low. However, the Estate workers who live in the village and come to work on the Estates earn higher total incomes. This is mainly in Zone l. ln Zone IV the estate workers are mainly resident labourers of Indian origin and villagers in the neighbourhood do not find employment opportunities in the Estates.
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TABLE 41
MEAN AND MEDIAN INCOMES FROM ALL SOURCES FOR Two MONTHS IN SELECTED occupATIONs (Rs.)
Main occupation of Rural Sector Estate Sector
income receiver
f'Mearn Median Mean Median
Clerical and related workers 681.55 63148 887.31 750.OO
Farmers ... 523.90 460.41 284.40 225.00 Farm workers ... 277.91 265.77 227 OO 219.OO Estate workers ... 266.1 O 225.OO 1992O 168.87 Fishermen/Hunters ... 545.16 485,33 -- -- Industrial workers ... 456.71 4O1.74 664.93 500.00
Note: The above data exclude the Urban sector. Source. Survey of Consumer Finances 1973, Table 74.
The information relating to Zone IV in particular shows that the income receivers concentrated in agricultural occupations are poor as a class. In Zone I, the Rural sector agricultural worker is better placed in that this Zone is studded with townships, superior facilities for transport and also a different organisation of plantation labour which provides some labour market for villagers' labour. Better prices can be fetched for surplus produce. The workers have access to employment on the Estates and alternative employment in the slack periods. In Zone IV, the Rural agriculturist is very dependent on his own agricultural resources which are a combination of paddy land and highland. His special skills are in relation to paddy Cultivation which, in this Zone, is largely rain-fed. Unlike in parts of Zone III, (Jaffna) there is no developed and traditional system of intensive cultivation of high priced items such as chillies and onions. The introduction of systematic Cultivation of tobacco and vegetables in some areas in Zone IV for the city markets is of relatively recent origin and an optimum output from the highland has not yet been reached. Generally, the resources available per worker in village agriculture in Zone IV are relatively lower than in the other Zones. This is seen when we work out an index of resource availability which is done later.
The position of the agricultural workers has also been examined in the Socio-Economic Survey 1969/70. While we know that the total income of an agricultural worker is both in
88

kind and in cash, the agricultural workers are frequently illplaced in earning cash incomes. The relatively disadvantaged position of agricultural workers in earning cash incomes in Zone IV is revealed in the Socio-Economic Survey. The position was as follows (Table 42):-
TABLE 42
AVERAGE MONEY INCOMES OF INCOME RECEIVERs CLASSIFIED BY MAJOR OCCUPATIONAL GROUPS (Rs. per month)
Zone Zone Zone Zone Occupation IV
1. Cultivators (food crops, paddy, vege
tables, fruits etc.) ... 122 153 173 101 2. Cultivators - other/cotton, cinnamon,
Citronella etc. ... 263 225 220 120 3. Livestock Farmers ... 222 94 n 82 4. Rubber tappers and rubber estate
abourers 85 --- 83
5. Tea pluckers and Tea Estate labourers 58 54 ---- 60 6. Coconut plantation labourers and Toddy
tappers ... 169 95 163 69 7. Other agricultural labourers 95 84 128 69
Source: Socio-Economic Survey 1969/70.
In interpreting this Table, it should be noted that in the Estate sector there are on the average 2.41 income receivers per household as against 1.26 in the Urban and Rural sectors. Coconut cultivation is carried out only in one out of the seven districts in Zone IV and the Cultivation of cotton and cinnamon is not done in this Zone.
Finally, there is the question of the accessibility to resources per worker in non-Estate agriculture in Zone IV.
lf we take the non-Estate agricultural land (both in general and in terms of paddy land and highland separately) and match it with the numbers in the sample in each Zone whose occupation is in non-Estate agriculture, we get a rough and ready index of relative resource availability from Zone to Zone. This has been done in Tables 43 and 44. The index of acreage available per worker is lowest in Zone IV. It is also the lowest if paddy land and highland are taken separately. In good measure it accounts for the rural poverty in Zone V.
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TABLE 39
TVNO-MONTH INCOME FROM MAN OCCUPATION
Mean AMean lincome fricone fron nain Number of fron all occupation Avtain occupation of income Sources only
inconne Receiver Receivers (Rs) (Rs) ~ 3 (1) (2) (3) (4) ×100
Farmers - - - 1551 530.16 288.74 5453
Farm workers « 565 282.84 176.15 62.19
Estate workers 1514 216.28 155.09 71.76
All-lsland Tota — All Occupations • • • ” 7326 455.02 299.28 65.77
Source: Survey of Consumer Finances 1973, Table 72,
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PART II
NON-URBAN POVERTY A STUDY OF SIX SITUATIONS
INTRODUCTION
The Rural Studies Division of the Marga Institute has an ongoing programme of village studies under which an intensive study is being made of a set of villages representative of the Cultural-ecological zones of Sri Lanka.
The specific characteristics of poverty in tine six nonurban communities are presented in this part of the study portraying the diversity in the nature and circumstances of poverty as well as their Common features.
The six studies cover five villages and an Estate situation. They fall into different administrative districts and into several zones as demarcated in the Socio-Economic Survey of 1969/70 and the Survey of Consumer Finance 1973.
The selected areas are as follows:
1. Mirissa South - a fishing village - Matara District Zone
2. Horape - a suburban village - Colombo District
Zone | 3. Henegama - an area of tea, rubber and peasant agri
Culture - Matara District Zone 4. Walgampaya – a plantation-cum-paddy area - Kandy
District Zone V 5. Paranagama - in the intermediate rainfall zone with Coconut plantations - Kurunegala Distri Ct Zone IV
6. An Estate
Situation — a tea area — Nuwara Eliya District Zone
WAf
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1. MRSSA SOUTH
Mirissa South is a fishing village on the south Coast in Matara District. It is on the trunk road between Welligama town and the provincial town of Matara about five miles away from this town itself.
The village has about 535 households with 96% of the Karawe Caste engaged in fishing and 3% of the Durawe caste, the balance being of Goigama (farmer) and Salagama castes. The resource system of the village is totally dominated by the majority caste, which is also politically powerful in the village. These families are knit by kinship. They are also powerful in the entrepreneurial activities in the village.
The general distribution of the income levels and activities of the village is given in Table .
Almost 10% of the families earn Rs. 1,OOO/- per month or more and they constitute the large scale entrepreneurs, large-scale fish traders, the boat and beach seine net owners who own several vessels, the tradesmen who own mills and shops and boutiques, the big land-owners who own and both inside and outside the village, families with more than one employee in government service and who have subsidiary sources of income and families with a combination of the interests already mentioned.
Another 22% have a household income of Rs. 600 to Rs. 1,000 per month and their activities are similar to the affluent group but on a smaller scale. A further 41% have household incomes in the range of Rs. 300 to Rs. 600 per month and are not considered poor in the Community.
Below this group come a wide range of activities and a blurred margin of household incomes around and generally above Rs. 200 per month. Their occupations include fishing in small (non-mechanical) boats and using less efficient methods,
11 O

smaller fish traders, other small traders, some crew men and others assisting the big operators.
terms of household income, the poverty group is associated with household incomes at or below Rs. 200 per Innorth. There are households whose main occupations are Coir Spinning (rope making), Sub-line fishing without ownerShip of equipment, beach Seine crew men, cadan thatch makers, lace makers and such occupations combined with Casual labour.
The external resources of the village are largely confined to government and commercial employment outside the village. The external trade and business is linked with the village in terms of ownership or the type of goods. The magnitude of the numbers coming into the village from outside for trading and other activities connected with fishing is higher than the village people seeking lucrative employment outside the village.
Excluding children under 5 years of age, the illiterate are only about 2.8% of the people. About 45.7% have had 1 to 5 years of schooling. About 27.4% have had 6 to 9 years of schooling and 25% have had 10 years or more of schooling.
The general pattern of housing in the village also presents a picture of the level of prosperity. About 7.4% of the houses have tiled roofs, cemented floors, brick walls, well maintained (most with electricity) and with 4 to 5 living rooms. Another 26.1% have the same quality of housing but with 2 to 4 living rooms. A further 44.7% are good houses of permanent material but with one to two living rooms. Below this level are about 15.8% of the houses of wattle and daub and thatched roofs but fairly well maintained. The obviously poor houses are the thatched cadjan houses that Constitute about 5.6% - 30 households in all. The general Conclusion of the continuing study of this village is that about 50 households (about 9.3%) suffer from poverty as evidenced by the level of household income id the condition of their housing and life style. They fall into the income group of Rs. 200 per month and below. These nu useholds suffer a less harmonious pattern of relationships with the community in the village.
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Of these 50 households a sample of 13 have been chosen at random for Closer Study.
The general characteristics of the poor households enable them to be classified as follows:
(a) The pooler non fishermen who are out of fishing Owing
t O CSte COn Stra IntS.
(b) Those with no Caste Constraints (and belonging to the
Karawe caste) and associated with fishing operations and Connected activities.
(C) Fishermen who operate less desirable technologies and
have low in Comes.
(d) Fishermen who operate adequate technologies but suffer
family pressures, una voidable expenditures and ho Sc
hold subject to some Calamity such as the death of the chief earner.
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TABLE | MiRISSA - PATTERN OF EMPLOYMENT
Annual Family Incorne
W0. Of Main income groups families (i.e. occupations and positions etc.) engaged
Rs... 12,000
. Large-scale entrepreneurs (other than in fish) ... Large-scale fish traders.
Boat owners who own more than 1 . Tradesmen who own mills and shops in the
village 60 Big land-owners (coconut etc., outside the village as well as inside the village)
. Families of more than one government employee
-- other income Sources
. Families engaged in more than one of the acti
vities in the second and first categories
Rs. 7.20012,000
(second
category)
, Boat owners at one boat each.
Boat owners with other avenues of income.
Madal owners with other avenues of income Car owners (for hire)
, Bookies 110 . Government employees such as graduate teachers, . Other government employees with additional
reSOUCeS.
. Small land-owners . Families engaged in more than one of the acti
vities in the category.
Rs. 3,600
7,200
(third
category)
Boat crewmen.
Madal owners/big shareholders.
. Elanadal owners (big shareholders) . Dalpati owners.
. Dynamiters.
Fish sellers on bicycles. 210 Commission traders of fish. Bookie collectors.
, Illicit sellers of arrack etc. (few only).
Blue collar workers etc., with additional incomes. , Kuda Oru owners with additional income. . Small-scale fishing gear sellers.
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Annual No. of Family Main income groups families frnconne (i.e. occupations and positions etc.) engaged
Rs. 2,400- 1. Elanada and Dalpati crewmen.
3,600 2. Kuda Oru owners with less desirable additional
incomes. (fourth 3. Pingo carrier (fish) with other income. category) 4. Fish-mongers with other income. 90
5. Traders in village fair with additional income. 6. Madal owners with fewer shares. 7. Elanadal owners with fewer shares. 8. Shareholders in Dalpatis. 9. Gamblers and illicit selers of arrack.
Burred In terms of per capita income little difference could be 25 Margin seen between this group and the last group.
RS. 24OO . Subline fishermen who do not own equipment and below . Coir -spinners.
50
Category) . Cadjan-making as sole occupation.
, Madal crewmen who do not own any other source
of incomes. 6. Families of less income owing to lack of employ - ment, old age, death of income earner etc. and rely on kimsmen.
1
2 (Fifth 3. Lace-makers (as an income source)
4.
5
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Characteristics of the Poverty Group:
Thirteen poor houses selected at random from among the poor households which came to be known in the continuing study of this village, have been chosen for closer study. The general pattern of their occupations and their incomes is given in Table II. The household incomes ranged from Rs. 70.83 per month to Rs. 250/- per month and the per capita inCome in the households ranged from Rs. 19.69 to Rs. 47.22 per month. Ten out of the 13 houses had a per capita income below the Poverty Line of Rs. 36.50 per capita per month as determined after a study of the Survey of Consumer Finances 1973.
Seven out of the 13 households received their incomes from coir-spinning supported by thatch-making, lace-making and manual abour. Five households had sub-line fishing aS the main occupation, using Kuda Oru (small boats) Combined with work as boat crewmen. In one instance, it was work only aS a CreWran
Subsidiary resources were very limited with 3 houses having 6, 16 and 20 coconut trees respectively. The house with the 20 trees also had a few jak and plantain trees. Land, as an income-earning asset, was available only to 4 households and at best was a share ownership of half an acre.
While lace-making and cadjan-thatch-making are subsidiary occupations in many households, it is a major occupation in the poor households.
Generally, if a woman is fully engaged in the activity of coir-spinning, an approximate sum of Rs. 6/- Can be earned in a day. Lace is sold at prices ranging from Rs. 2.50 to 15/- a yard, depending on the quality. A skilled woman, if fully engaged in this occupation, can make about 2 yards a day, but this type of activity is seldom Carried out Continuously during the day.
Most of the income from these activities is spent on daily food Consumption.
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The menfolk too have diverse subsidiary occupations. In Household No. 2, the head is also engaged in selling vegetables at the fair. Others also assist in shops and vegetable stalls outside the village. Most of them are youngsters and do not make a regular contribution to the family income.
Most of the people working as wage labourers are from the Durawe caste as caste restraints keep them out of fishing and the Karawe people of this village avoid menial labour.
The fishermen in the Poverty Group who are engaged in sub-line fishing belong to the older age group. Their Sons, if any, are employed as boat crewmen or as Dalpati fishermen earning a better income. The sub-line fishermen earn Rs. 5/- to Rs. 10/- per fishing day while the Dalpati fishermen earn about Rs. 10/- to Rs. 20/-, but they have to spend a part of their earnings on the repair and replacement of equipment.
The males predominate among the economically active members. The number of dependents are high in family No. 3 and No. 11 who also have the lowest per capita incomes.
Food consumption and other expenditure:
On the average, 79% of the cash income of the 13 households was spent on food and the percentage varied from 71% in House No. 4 to 85% in House No. 9. However, all except Houses 1 and 13 had a small supplementary intake of food not bought for Cash - i.e. coconuts mainly and jak, yams, fruits in Houses No. 4 to 6 inclusive and fish in Houses 7 to 12 inclusive.
All houses had at least one meal, generally the lunch, with rice and curries including fish on most days. The other main meal was bread and curry or sambol (coconut/onions/condiments). House No. 1 sometimes skipped dinner. Most dinner meas vivere of bread and Sambool.
All except House No. 1 had no solid food for the adults
for breakfast. The children were given a little bread. Others had only a cup of tea.
Food was generally bought on a daily basis from the coOperative boutique or from the village fair. A number of houses also bought their provisions on Credit from boutiques.
116

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117
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The consumption of eggs or meat is extremely rare. The vegetables are of the cheapest varieties, green leaves and jak and breadfruit in season. Food consumption increases with gains in income. The infants are breast-fed.
Of the non-food items, clothing was generally bought once a year at Sinhala New Year. Kerosene and firewood were regular items of purchase. All families spend small sums (Rs. 10 to Rs. 50) per year on medicine, but they make use of the Government Medical Services when necessary. Four of the families (Nos. 1, 4, 6, 9) spent nothing on entertainment. The others spent Rs. 25/- to Rs. 100/- (House No. 2) per year on this. All but House No. 1 spent about Rs. 25/- per year on religious ceremonies.
The households, Nos. 7 to 12, provided about Rs. 50/- per year for fishing gear.
Housing:
Nine out of the 13 houses had solid brick walls and One other (No. 11) was partly of brick and partly wattle and daub. Nine houses also had cemented floors and one other partly cemented. One house was entirely of wattle and daub (No. 1) and two houses (Nos. 4 and 9) were of cadjan. All these three had clay floors. The partly brick house, the wattle and daub house and the cadjan houses had thatched roofs; the others had tiled roofs and one had asbestos roofing sheets. The wattle and daub, the three cadjan houses and two of the brick houses (Nos. 5 and 12) had no toilet of their own. Houses No. 1, 4,5, 7, 8, 10 and 11 had no wells of their own. They use the wells of the others. No house had water on tap. The toilets of other houses are generally accessible to those without.
All the houses had kitchen space or separately built kitchens of wattle and daub or thatch.
House No. 8 has 5 rooms and Nos. 10 and 6 have 4 rooms. House No. 1 has only 1 room and House No. 9 has 2 living rooms. All the rest have 3 living rooms each. Thus, House Nos. 1 and 9 are the worst provided in terms of rooms but House No. 1 has only two occupants and 225 sq. ft. per
118

person. House No. 9, however, is a cadjan house with no facilities and it houses six people at 33 sq. ft. per person. In addition to the rooms, House Nos. 2, 3, 5 and 6 also had a verandah.
in terms of per capita space, the available space varied from 33 sq. ft. per person to 225 sq. ft. House Nos. 1, 2, 3, 4, 5, 7, 11 and 12 had over 100 sq. ft. per person. Only House Nos. 10 and 9 had less than 50 sq. ft. and 33 sq. ft. per head respectively.
The houses had very little furniture and durable equipment. The three occupants of House No. 13 are temporary occupants who do not own the furniture which, however, is not much different from that of the other houses.
The 12 houses (excluding No. 13) had altogether 33 beds for their total population of 89. Of these, 5 were in House No. 4 and 4 in House No. 8. All the houses together had 44 straightback chairs and arm chairs. Of these, House No. 6 had 4 straightback chairs and 3 arm chairs. House No. 8 had 5 straight-back chairs and House No. 11 had 5 arm chairs. The houses had 17 tables with House No. 2 having 3 tables and houses 6, 8, 11 and 12 having 2 each. There were, altogether, 6 almirahs, two in House No. 6 and one each in House Nos. 3, 5 8 and 9. Two houses had traditional boxes for their clothes and two had a cupboard each. One house, No. 6, had a wall clock and five had wall mirrors.
One house, No. 3 owned a coir spinning machine and two houses, Nos. 6 and 7, had a lace-making device.
Lighting was by kerosene oil lamps, but 3 houses, Nos. 7, 8 and 12, had kerosene Petromax' lamps which gave a bright light.
In terms of its 8 occupants, House No. 6 was best equipped.
Education:
The effect of free education and the establishment of Schools throughout the Country has made secondary education available to all. Most people born after the war have had at least 6 to 8 years of schooling.
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In examining a single village, the pattern of education beyond the 10th 3rade may not be significant because of the smallness of numbers and some migration out of the villages to the towns for pursuing higher education. The general pattern of education among the poor group in Comparison to the entire village was as follows:
Education Poverty Years of schooling Village Groups
literate 2.8 3.84 1 - 5 years 45.7 39.68 6 - 9 years 27.4 41.01
Employment opportunities and the use of resources do not make higher education a necessity. In the village as a whole, about 90% of the youth who have obtained the General School Certificates at Grade 12 or had further education have not obtained any position by virtue of being educated.
The poor too read newspapers and are informed about affairs in the country and the main world news. They read various publications and election manifestos and they understand the accounting done by their employees. They can fill various administrative forms and they write their own letters when necessary.
Conditions of Health among the poor:
The medical facilities in the village are fairly adequate. Besides the village health centre (a Government concern) where there is a qualified Western physician, children's clinic, outward treatment for patients, maternity clinic, a visiting dentist etc., there is in the village a homoeopathy doctor (a private practitioner), a Western physician (MBBS/Private Practitioner), four indigenous physicians, a PHI (Government appointed Public Health Inspector) and a nurse for family planning (Government appointment). Besides these facilities available in the village, the hospital services in both Urban centres of Matara (7 miles away) and Welligama (3 miles away) are accessible to the village.
The patients in the Poverty Group usually go for free medicine given in the village health centre. For grave illnesses,
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they go to the hospital either in Matara or Welligama. For mild treatment, they prefer the Indigenous physicians. The pattern of preference to treatment in the Poverty Group does not vary very much from the general village pattern.
The indicators of negative conditions of health such as incidence of immature deaths, major illnesses etc. are not much evident in the Poverty Group. Infant deaths have occurred in two families only (one in an accident and the other at birth). In two other families where the male head is dead, the deaths occurred at ages of 72 and 54. In Family No. 8 the wife died at 65 and in Family No. 9, the first wife of the household had died at 38 at child-birth.
Every child in these households is immunised at the village medical centre, which is a rule rather than a normal, customary procedure. For confinements, now everybody goes to the hospital in the town and for periodic examinations, to the village clinic.
The Process of Marginalisation:
In the case of Mirissa, the village as a whole cannot be Consiedered poor. However, the socio-economic changes that took place during the past twenty-five years have marginalised persons in certain occupations and some of them have still not adapted themselves adequately to the changed conditions.
The main forces of change are associated with the policy of the Government in the 1950s in the field of small-scale fisheries. The Government, acting in the interests of the operating fishermen, introduced the use of inboard and outboard motors with the existing fishing craft. It also introduced the 3 ton 28–32 foot mechanised boat and also the use of nylon nets. This was done not through prosperous owners of the traditional large boats and beach seine nets, but through the more enterprising fishermen and later through groups of fishermen organised in cooperative societies. The new technology led to the utilisation of a wider area of fishing operations and to a rapid increase in the catch. The traditional craft also operated simultaneously with the new craft. The monsoon period ceased to be a period of inactivity. The technological change also led to a shift in the relative position of the parties
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engaged in fishing. Deep-sea fishing emerged as the dominant operation and beach seine (Madal) fishing suffered a relative decline in its position.
The traditional systems of fishing seemed to be more inter-connected and integrated and was subject to the influence of the bigger owners of boats and nets. Different locations had groups of fishermen using the same traditional technology. As a result of the innovations and new technology, there developed a greater specialisation in specific types of fishing and also a new competition among parties using different technologies but operating simultaneously in the same OCations.
The rise of new technologies associated with mechanisation and nylon nets also brought in new economic functions and new centres of activity associated with the harbours, repair shops, fuel supplies, Cold rooms etc., and the growth of boutiques and tea kiosks associated with these new centres of activity.
The new mechanised boats operated by certain groups Competed with the traditional Ruval (sail) boats and Dapati and the different groups tended to devise techniques to exploit different species of fish. In the case of beach seine too, competition exists between the Madal (traditional beach seine with large nets), Elanadal and Dalpati. In the greater inshore area, there developed a competition between Kuda Oru (small boats), Dalpati and also the illegal dynamiters of fish.
In this process of change, those who were most adversely affected were the parties that were auxiliaries to the traditional non-mechanised fishing and beach seine operations. The use of coir rope and coir materials declined and the opportunities to work as abourers and crew-men in traditional fishing grew less. Traditional boat-building also felt the effect of the changes.
There was no doubt a process of adaptation throughout the economy. The more powerful Madal owners took an interest in large-scale fish trading and in general transport and trading activities. The smaller shareholders in Madal found
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adjustment more difficult. The surplus labour in traditional fishing got distributed in the field of mechanised fishing and its attendant economic functions. Some of the boat-building carpenters took to house-building and furniture-making for an expanding market. Some of the labourers and crew-men of the old regime found adjustment difficult. The worstaffected were those in the auxiliary coir industry. Some of them joined in actual fishing operations, but those who were of the Durawe (a non-fishing caste) did not have this as a venue for change.
One alternative for those whose main occupation was Coirspinning was to widen their scope of coir work and to Cater to a wider market outside the village itself. However, their ope - rations had been on a small scale. Their economic resources and skills were such that they could not effect the change satisfactorily.
The Government's programme of introducing the new technologies created a new class of successful fishermen who Ceased to be dependent on the traditional power holders and the traditional elite of the village. The fishermen had also forged links with parties outside the village who provided training, spare parts, mechanical skills for carrying out repairs and servicing of engines etc.
In the case of the economic groups that are currently marginalised (as shown in the previous section) there is no reason to believe that their condition would continue indefinitely unless physical and mental limitations inhibit their taking up alternative employment or reorganising their activities in an economy which is obviously expanding.

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2. HORAPE
Horape is a suburban village 8 miles from Colombo, on the main railtrack to the City. It has a total population of about 3000 people in 520 households. The area of the village is about one Square mile.
The village has two distinct land masses called "Ihala Horape' (meaning 'upper' by elevation) and Horape Thuduwe.
Horape which was a paddy Cultivating village, has undergone a number of socio-economic changes during the past 3 decades. Up to about 1940, paddy cultivation was the dominating resource of the village but the expansion of the City of Colombo during and after the war led to the arrival of migrant families that added to the natural increase of the village population. The newly-established industries in the City led to many job opportunities outside Horape itself. At present, 46% of the population of Horape are migrant settlers from other parts of the country and as much as 93% of the workforce commute daily to their workplace outside Horape.
The extension of amenities such as electricity and telephone facilities and the expansion of the network of motorable roads together with an increase in rail traffic led to an increase in the volume of economic activities within the village. Two Small industries were also started within Horape itself, namely, aluminium pot-casting, employing 7 persons and textileweaving employing 25 girls. Both enterprises are associated with one family - two brothers. As a result of these changes, many people preferred to accept the more stable and often more lucrative employment opportunities outside agriculture either within or outside the village itself. Although agriculture declined in relative importance, the overal economic opportunities available to the village greatly improved.
124

Hora pe Thu duwe
The area chosen for closer study and for an examination of the condition of poverty is Horape Thuduwe which has a population of 871 in 147 households. Of these households, 80 are of the older residents and the rest are of later migrants. The average family size is 5.9
Caste-wise, all the older resident families are of the Goy - gama (farmer) caste. Today, 84% of the people are of this caste, with about 10% of the Salagama caste and 6% of the Karawe caste. However, caste does not seem to matter in the use of employment opportunities within or without the village.
The agricultural land consists of 45 acres of highland in 79 holdings and 53 acres of paddy and in 41 holdings. None of the 15 of the highland holdings of over 3/4 acre in extent are owned by the migrant households. Of the 11 holdings of highland between 1/2 acre and 3/4 acre, only one is held by a migrant household.
In the case of paddy sand too, of the 17 holdings of 1 to 3 acres (which is the largest size in holdings), only one is held by a migrant household. Of the 13 holdings of 1/2 to 1 acre, only 3 are held by migrants. Of the 41 paddy holdings, as many as 35 are owner-cultivated. Six are operated by share-Croppers who are migrants.
Of the 53 acres of paddy land, only about 25 acres are regularly cultivated as much of the land is too marshy for regular and profitable cultivation.
The older resident families still Control the land resources of the village.
While and holdings are in the hands of a minority (and that too in small parcels), there are only 30 persons who own a surplus house given on rent.
Only 11 households own cattle and the village has 40 head of Cattle of which 27 are milk cows.
Most of the households in Horape Thuduwe depend on monthly earned incomes from Jobs outside the village.
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The general housing conditions in the village are good. About 6% of the houses are of wattle and daub with Cadjan roofs and the rest are of brick and mortar with tied roofs. Space-wise, there is no overcrowding, 46% of the wattle and daub houses had 4 rooms. About 55% of the houses in the village have 4 or more rooms. The smaller houses have 2 to 4 living rooms.
A sample study revealed that 35% of the people had one to six years of schooling and the rest had seven or more years of schooling. About 1% were University graduates.
income-wise. 5.3% of the households had incomes of Rs. 250/- per month or less. 23.6% had incomes in the range of Rs. 250-450 per month and 61.8% between Rs. 450 and Rs. 750. The rest had higher incomes.
Selection of the Poverty Group:
Selection of the Poverty Group in Horape Thuduwe was made from the intimate knowledge of the households as a result of the continuing study of this village over three years. Four of the poorest households from the long resident group and four of the poorest households from the later migrants were chosen for closer study. They constitute 5.4% of the households in Horape Thuduwe.
A number of factors were taken into Consideration in Selecting these households among which were the visible living conditions and the type of houses occupied and its State of repair. The level of household income and the pattern of expenditure on food and other essentials were also taken into consideration.
Eight of the poor households, which were in the lowest position in the income distribution, were taken for close exami
nation.
The Poor Households
A general picture of the poor households can be had from Table t. The average family size of the poor group is 5.5 as against the village average of 5.9.
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Families number 1, 2 and 8 have six, or more members with a large number of dependents. In family No. 1 there are four persons aged 14 or below. In family No. 2, which has 12 members, there are six persons aged 14 years or below. In family number 8 there are 4 such young persons out of their total of 6.
Family No. 3 has one aged dependent and family No. 5 is dependent on the pension of an aged female member. There are no other aged persons (over 50 years) in these families.
Only 4 of the poor families have any land at all but the land is of poor quality and cannot be intensively cultivated. Families No. 1, 2 and 4 get a meagre supplementary inCome from jak and coconut trees, plantain trees and yams. Any other subsidiary incomes (mainly non-cash) earned by family members are too small and uncertain to be of any a CCOUnt.
Generally, the unskilled labourers with unstable employment suffer poverty. Families No. 3, 4, 5, 6 and 7 get the lowest household incomes in the village, but by way of per capita income, Families No. 3, 4 and 6 are the worst off and they show a lack of skills that might be employed within or outside the village to improve their economic condition. The poor labourers also do not have permanent employment.
On closer examination, we find that, in Family No. 5, the pensioner is the mother aged 65 years and the son who has offers of employment outside the village is unable to accept these offers as he has to look after the aged mother.
In the case of Families 3 and 4, the chief income earner is addicted to alcohol and is unable to hold a permanent job However, they are physically fit and can undertake unskilled work.
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How the Poor Live:
(a) Housing:
One of the visible aspects of poverty is the poor condition
of housing in relation to that of those who in the village are
not considered to be poor. This is seen in terms of the materials
of Construction, the per capita space, the design of housing
space, the state of repair and amenities.
The condition of the 8 houses in the Poverty Group are as follows:
Of the 8 houses, 5 had cadjan roofs and 4 had earthen floors. Only 2 had burnt brick walls. The poorest were houses No. 2 and 3. They also had less than 30 sq. ft. of space per head. House No. 2 had three small rooms and a kitchen. House No. 3 had only two small rooms and a kitchen, while in House No. 2 the premises and the clothing were clean, it was not so in House No. 3 which was the poorest of the lot.
All the houses had two or more living rooms inclusive of the verandah which is invariably used as a living room.
Furniture and durable goods in the poor houses were a few chairs, benches, an almirah (in 4 houses), boxes and tables and kitchen utensils. They were old and of poor quality. Two houses (Nos. 3 and 4) had no beds. In all the houses taken together, there were 9 beds for a population of 44. The people generally slept on mats on the floor.
Six of the households had toilets and 3 had their own wells but there was ready access to the wells and toilets of the neighbours in the case of houses not adequately provided.
The four migrant families lived in rented houses with three of them paying rents ranging from 7 to 10% of the income. Family No. 5 paid a higher rent for a solid brick and tiled house but was running seriously into debt.
(b) General Expenditures:
In running their households, the units 2, 3, 4 and 5 were running into debt ranging from Rs. 5 to Rs. 10 per month with house No. 5 having more than double that figure. Only households 1 and 8 had any savings at all.
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The percentage of income spent on food varied from 65% to 100%. The worst off being households No. 3, 4, 5 and 6 where the percentages were 89, 100, 89 and 83 respectively.
The amount of income spent on clothing varied from 3 to 8%. All but houses 5 and 6 spent a little on education and all but No. 4 spent on travelling. However, it may be noted that houses No. 1, 2 and 8 spent 7%, 13% and 17% of their incomes on education and travelling taken together.
Only house No. 4 (which was also in debt) spent anything at all on recreation.
Medicine does not seem to be a problem as they resort to home remedies. If these fail, they go for the free treatment at the government hospital half a mile away.
(c) Food:
The poor households have three meals a day i.e. breakfast, lunch and supper. Breakfast is generally of bread or starch foods (rotti or hoppers) with sambol (of coconut or onions with condiments).
For lunch and supper they generally eat rice with the alternative of bread or rotti or breadfruit or jak or yams. The diet is mainly of starch foods, together with the cheaper vegetables and green leaves (pala) which is very cheap or available free. Fish is eaten once or twice a week by households No. 1, 4 and 7 and less frequently by others. Milk and eggs are not items of the diet and meat is very rarely eaten.
The only household with an infant was No. 8 and it was breast-fed.
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(d) Education:
Of the 11 adult males in the Poverty Group, 5 had eight years or more of education. The other 6 had four to seven years of education. Of the 11 adult females, two had eight or more years of education, 6 had five to seven years and 3 had four years of education.
The children under 18 years are attending school, except for the following:
House No. 2: one of the sons dropped out at 13 years from the 5th Grade as he refused to study in spite of parental persuasion.
House No. 4: the son dropped out at 10 years from Grade 4 and the parents had not pressed him further.
House No. 7: the two boys aged 6 and 8 are not yet attending school. The father's excuse is that he has not been able to obtain the necessary admission papers. This may not be the real reason in the case of the 8-year-old.
The incidence of drop-outs in the Poor Group is not much different from the rest of the village.
General observations:
The social life is limited to relationships with the neighbours and close relations who may drop in. As space in the houses is not rigidly separated for different functions, the verandah is used both for entertaining visitors and for sleeping, generally of the male members of the household.
Poverty is not an obstacle to keeping the premises clean or for the occupants wearing clean clothing.
Except household No. 7, all households make use of their literacy and education by reading newspapers and periodicals often borrowed from their neighbours. Only two houses buy the week-end newspaper. The children too read the illustrated children's papers avidly. In two households, some members read novels and serious books, generally borrowed from friends or from libraries. Three of the households do not write or receive letters.
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The health of the Poor Group is good and they are free of any serious ailments. For common colds or fever, they take home remedies. For boils, sprains or rheumatism, they prefer ayurvedic treatment. For anything more serious, they go to the Ragama. Town Government Hospital for free treatment. Immunisation against smallpox, polio, T.B., and diphtheria has been carried out in the case of four out of six households with small children. The households show adequate knowledge of health care. Waste disposal is carefully attended to by almost every family.
The circumstances of poverty:
Horape is neither a town nor a typical village. Located on the commuter belt, it shares a bit of both characteristics.
While agricultural resources were adequate for the traditional village families, the post-war expansion of the city of Colombo both brought in outsiders for residence (mainly city workers) but also drew away the old residents to jobs in the city at Colombo Port, in the railway and bus services and health and mercantile services in the city. These jobs were both stable and had attractive incomes and benefits.
The major flood of 1947 disorganised paddy cultivation and the irrigation system for some time. This too made people look for jobs outside Horape and outside agriculture.
With the growth of the residential population, the highand came to be used almost exclusively for residential purposes with perhaps small homegardens attached.
Both highland and paddy land continue to be cultivated, but land plays a smaller role in asset utilisation. Only 10 people own over 1 acre of paddy and and only 15 own over 3/4 acre of highland.
The poverty of the marginalised group is very much related to their access to the labour market within and outside the village and the skills the people possess.
The earners of households 1 and 2 are employed outside Horape and 3 and 4 are unskilled workers who seek work within Horape and in the neighbouring villages. All four families are old residents and not landless. Their poverty is also not for lack of adequate education or physical incapacity. Two
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of the labourers, however, are addicted to excessive drinking of alcohol.
Family No. 1 (a household of 6) has 4 children under 15 years and family No. 2 (a household of 12) has 6 children under 15 years. Family No. 8 (a household of 6) also has 4 children under 10 years of age. This is a migrant family.
Before the war, when agriculture was more important, the agricultural labourers enjoyed a patron-client relationship with the landlords. After the war, there was both a decline in the role of agriculture and also a change in the social relationships. The labourers who did not move into other jobs had to hunt for work and fend for themselves.
In the case of household Nos. 5 to 8, which are of migrants into Horape, the marginalisation had taken place in their original villages and they have found greater adaptation living in Horape.
The worst is household No. 5, living on the pension of the aged female member. The male member, the son, has had offers of employment which he was unable to accept because he had to run house and look after his mother. He is looking for a suitable job for which he can travel from home daily.
None of the migrant families own land or houses and they have hardly any subsidiary incomes. They cannot move up the occupational ladder for want of further education or higher skills. Household No. 7, the knife maker, says he cannot secure more capital to expand his business which could bring him a higher income. Household No. 6 had been well-to-do but had been disinherited by his family on account of his marriage. Subsequently, he had held the job as a caretaker of a property. When he lost this job, the household moved into Horape and he took up whatever employment was available with his limited education up to Grade 7. His income is supplemented by that of his child, a Batik apprentice, whose income is expected to rise with further training.
The householder (No. 8) is permanently employed at a job outside Horape and he draws the highest household income in the Poverty Group and his economic difficulties (as in household Nos 1 and 2) are because he has five dependents.
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3. HENEGAMA
Henegama is an inland agricultural village 17 miles from the Coastal Provincial town of Matara in the Southern Province. The nearest township is Akuressa, which is 3 miles away. The principal highway of Galle-Akuressa-Deniyaya passes through this village. In terms of agro-climatic zones, it falls into Zone li.
The village is made up of 179 households with a population of 1074 (1976 data) and consists almost exclusively of Sinhala Buddhists.
Land is the chief asset and both plantation and peasant agriculture prevail side by side. Paddy Cultivation and work on the plantations of Tea, Rubber and Cinnamon in the village and its neighbourhood are the chief occupations of the villagerS.
Caste-wise, 151 out of the 179 households are of Goyigama (farmer) caste. Berawa caste (drummers) account for 15 and Navandenne (goldsmith) account for 10 of the other households.
The total acreage of the village is 844 acres of which 389 acres comprise a tea estate with its own factory and which has now been taken over by the Land Reform Commission under the Land Reform Law. The estate area held 11 acres of paddy as well.
Of the balance 444 acres, 97 are under paddy and 347 under highland cultivation. The distribution of land holdings is as follows:
TABLE LAND HOLDINGS IN HENEGAMA acres Household Size of holding Highland Paddy Wo. Percentage Medium over 5 acres ... 151 2O 6 3 Small 1 - 5 acres 143 55 68 38 Fragmented ... a 53 22 105 59
34 97 176 100 `
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Exclusive of the estate land, 105 households hold 75 acres in fragmented holdings, but not all these families with low land holdings are badly off as many families earn incomes from self-employment other than on the land, trade and by employment outside the village itself.
The 176 households had been studied more closely through a random sample of 62 households. The pattern of incomes that manifested itself in the sample was as follows:
TABLE
INCOME CLASS OF SAMPLE OF 62 HOUSEHOLDS
Income per month
Wumber F፳S
0 - 49 - 7
50 - 99 14
100 - 199 15 200 - 299 12
300 - 399 5 400 - 499 2 2 599 س-- 500 600 - 699 1
Over 700 4
All income groups 62
Altogether 36 households (i.e. 58.1%) had an income less than Rs. 200/- per month. However, the incomes of this low income group tended to differ from time to time with changes in the seasons and the general level of economic activity in the village and its neighbourhood.
In the entire population of 1074, there were 387 (36%) persons in the workforce and 43% of them are females. There are 687 dependents who are either too old, too young or those unable to find adequate work. As many as 69% of the dependents are children. Those seeking work (156) amount to 23% of the dependents. However, these people are not altogether idle. They contribute to the work of the household and take up casual work if and when available.
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The village as a whole has 179 houses; of these, 47% are of wattle and daub with Cadjan thatch roofs. The others are of brick and tile. Six of the houses are old traditional bungalows.
In regard to education, the sample of 62 households showed that 15% including 3 graduates had an education up to at least passing the GCE (Ordinary Level) which completes secondary education. All the others had at least a primary education of some years. Those seeking employment had not completed their secondary education but 52% of those who had passed the GCE were also still seeking work.
As a result of the ongoing study of this village, it was easy to note the relatively poor households which were those living on the fragmented lands. Among these 105 families, there were 36 that, for all appearances (housing, clothing, life style etc.), were regarded as poor. From among these, 15 families were chosen for closer study.
The Fifteen Poor Households:
The 15 poor households consisted of 77 persons of whom there were 27 (i.e. 25%) of 14 years of age or younger and 6 over the age of 60 years. The population was evenly distributed in regard to sex. The average family size was 5.1 as against the average of 6 for the whole village.
It was found that all these families depended on casual labour or work of a temporary nature. Those who worked as Casual labourers on the estates (tea, rubber and cinnamon) were not sure of more than about 15 days work and the days themselves were uncertain. A boom in export prices may provide more work days for this class of worker. They also find work readily available in the paddy cultivation and harvestIng times.
Casual work also includes work at house construction, and clearing, digging drains and tasks of fetching and carrying. There is a patron-client relationship between these people and the well-to-do households. Some members of the poor families help in the rich households and receive free meals and gifts in kind.
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Casual sources of earnings include gathering vegetables and green leaves (pala) for sale at the market, selling of karunka (arecanut gathered from village gardens), Collection and sale of cinnamon seed, mat-weaving etc.
The income of the poor families consists of receipts in cash and in kind. Receipts in kind may be understated in value. Table I gives a general picture of the occupations of the Chief earners in these households and the monthly Cash income of the households. The average cash income per capita was Rs. 23,87. However, the incomes in kind i.e. home-produced items plus gifts alter the picture. The poorest families may be receiving more as free gifts than is recorded.
Altogether 12 of the 15 families receive per capita incomes below Rs. 36.50 per month. Family size appears to be a drag on their economic condition. Families Nos. 4, 5, 6, 9, 13, 14 and 15 have six or more members.
Only one family, No. 15 owned land and only 30 perches at that. Six families, Nos. 1, 2, 3, 8, 9 and 10 have shared land consisting of 5 perches to half an acre. Of these, families No. 1, 9 and 10 have no other land. Land on lease (of varying quality) from 1/4 acre to 1 acre is held by family Nos. 2, 4, 5, 6, 7, 11, 12, 13 and 14. Almost all the land held by these families were under mixed cultivation around their homesteads,
Pattern of expenditure:
By far, the greater part (65 to 80%) of the expenditure is on food. A number of essential items are bought from the cooperative stores or from boutiques which also provide credit. The diet draws heavily on freely available pala' (green leaves) and home-grown vegetables. The landlords owning jak trees provide the poor villagers with jak for sundry services. Sometimes, they also give rice.
Most families take three meals a day. Working men sometimes take breakfast at the boutiques. The morning meal is generally bread and sambol with tea without milk. Sometimes, it is rice left over from the previous night's meal together with sambol. Rotti made of wheat flour and manioc are also commonly taken.
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There is a habit of taking plain tea (called kahata) about 1 0 a.m.
The midday meal Consists of rice and curry. Green leaves (pala), manioc, sweet potatoes and cheap vegetables are commonly consumed. Fish is taken two or three times a week but meat is rarely Consumed as is the practice in most Buddhist villages.
Rice and Curry is frequently taken at dinner but bread is consumed on Some dayS.
The housewives of some of the poor households assist In the daily chores of wealthier households and get their lunch at their work place. The poor also derive benefits by assisting at various ceremonies in the richer households.
Clothing is the next most important item of expenditure and this is bought generally at the time of Sinhala New Year (April 13th). The men wear sarongs and banians or shirts. The Women wear Cloth and jacket. The difference in econoImic status is seen in the quality of the materials. The poor generally have two changes of clothes and the women may wear a Saree for an occasion. Among the poor, the clothes are generally not very clean as they do not have enough changes of clothes. From 6% to 9% of the annual income goes on clothes. There is a tendency for the male members to use any additional income they happen to receive to buy themselves expensive shirts rather than spend on the family.
Household equipment is sparse but two in the Poverty Group have radios, one a sewing machine and three have petromax lamps for lighting. Most of the women possess earrings of gold of low quality which they may mortgage in times of need.
Housing and amenities:
The houses of the poor are generally made of local materials and of wattle and daub with thatched roofs. In the Poor Group of 15 houses, six of them were of brick and tile with cemented floors. Others had mud floors.
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The square area was generally around 120 sq. ft. and all suffer inadequacy of space. Many had separate kitchens outside, but some had a kitchen in a corner of the house. There is no specialised use of space. Almost every house has a small verandah which is used for entertaining visitors and also for sleeping.
All but three houses have a pit-type latrine but not well maintained. Seven houses had their own wells for drinking water, five had common wells and three had none.
Educational levels in the Poor Group:
There is a primary school in the village and children go to Akuressa (3 miles away) for secondary education. The nearest Central College is 5 miles away. Twenty-two out of the twenty-eight children over 6 years are attending school. Most children stop schooling after primary education.
Among the parents, there is one who cannot write at all. Most of the elders get their writing work done by the school teachers, the Grama Sevaka or an educated member of the family. Letters are written very rarely. The male adults and the youths read the newspapers at the boutiques. The illustrated children's paper Sittara is popular among children. They borrow and read this paper.
No one in the Poor Group in this village buys or borrows magazines or any books, but all the people are informed about thejr religion.
One or two families buy a newspaper when they go to Akuressa town. The Dinamina and Davasa paper are popular.
Conditions of health:
Health Conditions are fairly satisfactory but the rate of physical development of the children is slow. In the families with several children, the personal hygiene of the children and cleanliness of their clothes is deficient. Some of the poor adults too wear untidy clothes. There is room for improvement in the waste disposal around the poor houses.
There is no dispensary in the village but a medical officer visits it once a week to attend to the needs of mothers and children. Health-care practices are lax among the Poor Group.
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People visit the hospital at Akuressa, 34 miles away, for medical attention when necessary.
The village Veda Mahathmaya (Ayurvedic physician) is also patronised and ceremonies are performed to ward off ailments or cure the sick.
Causes and circumstances of poverty:
The causes and gircumstances of poverty in Henegama are both historical and Contemporary.
Henegama was originally a small village with plenty of land, both under cultivation by the villagers and by way of Commons and waste, accessible to them. After the Waste Lands Ordinance of 1840, all untenanted land was vested in the Crown and thereafter sold for plantation agriculture. Land was bought by influential families and brought under tea and also citronella and cinnamon.
Since the 1930s, land has been leased to the landless in small parcels by the Government under the Land Development Ordinance and outsiders too settled in Henegama. As the population grew, the older settlements too became fragment.cd, adding to the number of small holdings. Fragmentation proceeded further, leading to the emergence of "havul idam' or jointly-owned properties with numerous owners and owned in common arid on which the various owners built their cottages. Six out of the fifteen poor households had some Such land of a few perches up to an acre in extent. The small parcels of paddy land came to be cultivated under the 'thattu maru' System where the Co-owners take turns in cultivation from season to season. Sometimes, the 'havul idam' are hogged by the most influential co-owner.
The village as a whole, has 105 households with fragmented land amounting to a total of 75 acres. Of these households, 36 are badly affected because of their limited access to other sources of income. Only one of the 15 poor households Studied has enough land to make agriculture the main source of in Come.
Alternative employment outside agriculture is crucially important for the 105 households on fragmented land. The
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Poor Group depend on work on the estates - general work as casual labourers in agricultural or non-agricultural work and three of the fifteen depend also on crafts.
Work as casual labour does not give steady employment and it does not pay to travel out in search of work beyond the immediately neighbouring villages. The limited education and skills of the Poor Group limit their choice of jobs.
New problems were created for the Poor Group as a result of the Land Reforms of 1972. The proprietors of the tea estate were their chief patrons and their role was greatly diminished with the vesting of the estate in the Land Reform Commission. The tea and was handed over by the LRC to the Multi-purpose Co-operative, based in Akuressa, which put the management in the hands of a Management Council which included political personalities. Party supporters had favoured treatment in employment.
As the estate development work flagged, the volume of employment also dropped. The previous owners provided enough work not only for the villagers, but also for outsiders. At the time of the study, only factory work (and not field work) was available and only for 10-15 days in the month. Ten families of the 15 poor families worked at the factory. Teafield development had stopped and with it the demand for male casual labour had dropped.
Casual abour in paddy cultivation in the village is, of Course, Seasonal.
In the case of poor families with growing children, the mothers are unable to seek work to supplement the household in Come.
Under-employment is a major cause of the poverty of persons without adequate agricultural land and, for the adults, the chances of overcoming their difficulties are very limited. However, a boom in tea prices and an intense development of the tea and of 389 acres can rapidly lift them out of their marginalisation.
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4. WALGAMPAYA
Walgampaya is a traditional Kandyan village situated in the Kandy District (Zone IV), nine miles from Kandy town, along the Alakolanga-Pottapitiya road. It is in the Wet Zone with an annual average rainfall of 130 inches.
The village covers 254 acres holding 271 households with a population of 1780. Land is the chief asset and, as in Henegama, plantation agriculture (tea) exists side by side with peasant agriculture.
Caste-wise, 45% are of the Goyigama caste, 20% Bathgama (Padhu), 10% Beravva, 10% Badahala caste.
This village is an ancient one with royal patronage from the time of King Walagamba and, in the Dambadeniya period (13th century), the Walagamba Raja Maha Vihara in the village was further endowed with land.
Although in the ancient tradition the different castes had performed their caste-associated functions, the economic activities of the people are now diverse. They cultivate mainly paddy lands including those owned by the Temple and also perform various tasks for the Temple. In the social hierarchy, the Goyigama are dominant and enjoy some special privileges in the village.
Resources:
Land is the chief resource and of the 254 acres, 193 are highland and approximately 61 acres are under paddy.
Forty acres of highland, within the village, are under tea. This is a part of a 115-acre tea estate called Kotagala Tea Estate. Besides this, there are two other tea blocks of 3 acres and of 2 acres each maintained by the Land Reform Commission. The 40 acres of Kotagala Estate have been divided after Land Reform, and given to landless villagers first in -acre
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blocks and later in -acre blocks. Altogether, 120 persons received blocks.
The paddy land of 61 acres is owned by 129 persons. Fifty persons hold blocks of less than 1 rood, 64 persons have holdings of 1 to 2 roods and ten persons of to 1 acre. The Temple now holds a block approaching 2 acres in extent. The largest holdings are between 2 to 5 acres and only four families have such paddy holdings. Two of the holders of the large paddy lands are of the Goyigama caste and the other two are of the Bathgama caste.
The 193 acres of highland are now owned by 333 people. As much as 20% of these holdings are of 20 perches or less. Another 25.5% are between 20 and 40 perches. As much as 40% of them are between 40 perches and acre in extent.
Of the rest, another 1.8% are from to 1 acre and 3% of them 1 to 2 acres.
There are today, only 3 holdings around 2 to 5 acres each and they belong to the Danture School, to the Temple and to a merchant (mudalali). The only party with a higher interest in and is a single family with a property approaching 10 acres.
Incomes and occupations:
Land is the main economic resource of this village but only a few of the 271 households live by it today. There are six relatively big land-owners and 31 smaller ones, and they are owner-cultivators. There are also seven share-Croppers. Altogether, they make up 16.2% of the households. Labourers in permanent and casual work constitute 23.6%. The others are dispersed in a variety of occupations such as Teachers (12), Clerks (6), Boutique-keepers (5), Services - Army, Navy, Police (4), Carpenters (4), Masons (3) and two each as executives, ritualists, washermen and others in Sundry OCCupations such as brick-makers, baker, potter etc., and persons without any specialised skills.
Income-wise, 4.4% of the households get incomes over Rs. 8,000/- per annum and 7.4% get between Rs. 6,000 and Rs. 8,000/- per annum. Another 14.5% receive incomes
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ranging from Rs. 4,000/- to Rs. 6,000/- per annum. The rest get lower incomes.
The Poor Group of the village, as a whole, have variable incomes ranging from Rs. 1,000/- per annum to around Rs. 2,000/- and they make up almost 30% of the households. They are the landless or they hold negligible parcels of land. They are casual wage-labourers.
The village as a whole is not wealthy. Some of the assets, other than land, give a general picture of the level of prosperity. There are 3 cars, 1 lorry, 22 bicycles, 26 sewing machines, 140 radios, 20 cows and 7 buffaloes in the village. The 3 cars belong to the (Goyigama caste) three aristocratic families of the village and the lorry to a household of lower caste but all belonging to the high income strata. The cattle too belong to the members of the high income group.
The literacy. rate of the village as a whole is high and it has 5 graduates, 2 undergraduates and 348 school-going children in primary and secondary education.
Identification of the Poverty Group:
As a result of a general study of the village, the broad pattern of annual income is known. The Poverty Group of 20 families was picked from among the lower income groupings, taking into account their housing, clothing, other visible living conditions and access to land. About 122 families, from the 271, could be broadly termed poor. The sample of 20 households picked for close study was from among the worse-off out of the 122.
Characteristics of the Poverty Group: Walgampaya
Table gives the general characteristics of the Poor Group of 20 households consisting of 149 persons. They included a Carpenter, a Barber, a Mechanic, a Harbour worker, a labourer in permanent employment and casual labourers. Tywenty-one of the casual labourers worked for village landlords, seven in public works and 22 on tea estates.
The size of the households ranged from 5 to 10 persons; ten of the households had 8 or 9 persons each. Two families
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had 5 or more children 14 years old or younger. The average household size at 7.45 was much higher than the average for the village. In the total of 149 persons, there were only 5 persons aged 55 or over.
Four of the families depended only on cash incomes. All others had small non-cash receipts. Three of the persons depending only on Cash income had no land at all.
in 8 out of the 20 families, there was only one income earner. In one family, there were 7 economically active mem. bers. In two, there were 6 such members and in another, there were 5 members (Vide Table |).
Of the 20 poor households, 11 had a per capita income of less that Rs. 36.50 per month. Five others had per capita incomes betwee Rs. 36.50 and Rs. 40.00 per month and 4 above Rs. 40.00 per month. It should, however, be noted that, among the poor, there are unaccounted items of food, gathe. red or received free from time to time, not included in total
in COne
The worst off was household No. 15, casual labourer (Rs. 19.16 per capita), who was the sole earner in a family of 6 persons. The next was household No. 12 (Rs. 19.58 per capita), also a casual labourer, the sole earner in a family of 10 persons; and there was household No. 19 also a casual labourer (Rs. 21.02 per capita) with no land but with 3 economically active householders. Householder No. 1, the carpenter, came next (Rs. 21.65 per capita) and he was the sole earner in a family of 8 members.
The best off in the Poverty Group was household No. 2 (Rs. 51.66 per capita) of casual labourers with 1/8 acre of and but with 6 economically active members in a household of 8 persons.
Pattern of expenditure of the Poverty Group;
The expenditure on food varied from 80% to 90% of the total income. On clothing (per annum) it varied from 3% to 10%, depending both on income status and the numbers in the households. All but 5 households had small outlays on education. Three of them had no school-going children. One
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had 2 children in the age group 10-14 years not going to school and the other had 2 children of the age group 4-9 years. All but 5 families spent Rs. 50 to 100 per annum on medicines which included ritual practices although they had access to government medical establishments for any ailments. The government facilities have also been used. Only one family (No. 17), the permanently employed labourer with a household of 6 persons was able to have any savings at all. Almost all carried small debts, generally to the employer or boutique-keepers. Fourteen of the 20 families had negligible or no expenditure on recreation.
The households generally had three meals a day, consiscing of bread or rotti (from wheat flour) or yams in the morning, mainly bread or rotti for lunch and almost invariably, rice and Curry for dinner. The meal included greens (pala) and cheap vegetables some of which was obtained free. Beef and eggs are not eaten and fish rarely, if at all. The children show signs of malnutrition.
Housing and amenities:
Seven out of the 20 households lived in brick-built houses; the others were of wattle and daub but for one which was of timber. One house had a cemented floor, one was partly cemented and all the rest had clay floors. Ten of the houses had 2 rooms and a verandah each. Five had 2 rooms without a verandah and the rest had one room and a Verandah. Eleven of the houses had attached kitchens and the rest had separate kitchens. All the houses had pit latrines generally of wattle and daub and thatch. Two of them were entirely of cadjan thatch. Generally the houses were small, old and in a poor state of repair,
Drinking water supplies were from common wells and the majority of them were not cement-built.
The furniture in the houses of the Poor Group was sparse, old and in poor condition. No house had more than 2 beds but one house had 3 camp-beds. There was a total of 26 beds for 149 persons including children in the Poverty Group. The chairs totalled 45. The other furniture consisted of tables, cupboards and boxes. Six of the houses had no tables at al.
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The houses in the Poor Group had no sewing machines, bicycles or wall clocks, but two houses (Nos. 2 and 14) had a transistor radio each. The utensils used were generally very
old and some were damaged.
Health and education:
Most of the families of the Poor Group do not eat a sufficient duantity of food and the quality too is poor - being mainly starch foods and greens. They also suffer from stomach ailments from time to time and the children sometimes develop skin rashes. The unprotected and uncemented drinking water wells are also used for washing and this water Supply for drinking is unsatisfactory. The Poor Group has been indifferent to immunisation practices as also to sanitation and waste disposal. Ten of the families have patients suffering from asthma. The people are generally undernourished.
In this Poverty Group, 3 to 4 persons in each household can read and write. The literacy standard is high, but 17 children of school-going age do not attend school. The others are at primary or secondary school, but they tend to drop out and seek work around 12 years of age.
The people read newspapers available at Danture the market centre for this village. The younger people also read novels and other books borrowed from the school library or the one at Pilimatalawa. Only two of the families seek assistance from their neighbours to write letters.
Generally, the unskilled abourers do not have time for any intellectual activity or even to utilise fully the land around their homesteads. They begin their day early, going in search of work and often return home late.
The Causes and Circumstances of Poverty:
Walgampaya is an ancient royal village structured round the ancient Walagamba Raja Maha Vihara which, in the 13th century, was further endowed with 130 acres of land for its support. People of various castes had been settled on these lands in order to provide the rajakariya (obligatory) services. They include independent Govi caste farmers and persons of lower caste rank.
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Changes in land law and associated practices began in the British period when, under the Waste Lands Ordinance of 1840, all untenanted and uncultivated and (which was utilised according to custom by the villagers) was vested in the Crown. Lands were then sold for the early coffee plantations and later for tea.
Some of the Temple land and lands of the Kandyan Chiefs had documentary title but much of the land held by or actively used by the common farmers had only customary rights (or were acquisitions by inheritance) which could not be established under the terms of the new land legislation. Land holdings contracted. Rights in the commons and wastes disappeared and a new era of land sales began. In this process, three aristocratic Govi families became the large land-holders and the tea estates acquired an important place in the village scene.
Government sales of land continued up to the 1880s and the pernicious Grain Tax Ordinances and their harsh administration led to further land sales for non-payment of Grain Tax, particularly in the economic depression that came with the failure of coffee. Ownership tended to be further redistributed and the size of holdings declined. The and problem was further aggravated by the subsequent growth of population without any reserves for village expansion.
The Land Reform Law of 1972 attempted to appease this land hunger. Nine out of the Poverty Group of 20 households recently received about -acre each out of lands vested in the Land Reform Commission. Four other families received about -acre each. However, these people who were poor and were landless, do not have the capital or the capacity to raise the same output from these lands as was done when these lands were part of a big estate.
Poverty today, in Walgampaya, is experienced by persons of all castes, particularly the landless or those with very small parcels of land. These people, without specialised skills and not more than a low primary education, have to
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seek work as casual abourers. Most of the economic Smallholdings in paddy are operated by the owners themselves and they need a little outside labour only at the peak of the busy season. The unskilled abourers, therefore, have to seek employment on the estates in the neighbourhood or at the township or on construction sites close to the village. The estates are now run at a low tempo and require casual
abour only for about 3 or 4 days in a week.
Meanwhile, the poor of the village have almost lost their patron-client relationship with the influential families whilst the contractual labour market can offer them little. They are not able to migrate out of the village for want of Skills and education. Some of the educated youth from the better-off families have done so.
The children of the poor families are too poor to pursue higher education. They tend to drop out of school around 12 years of age in order to seek work themselves. Schooling is only a matter of acquiring reading and writing ability.
The rice rations, the other government subsidies and the free health services provide considerable relief to the poor group. Some members of the poor households even receive a charitable allowance.
The lack or shortage of land, the lack of special skills, the limitations in education, the lack of capital, the limits to work on the estates, the lack of subsidiary employment in crafts and a relatively lower level of physical vitality are among the circumstances that contribute to perpetuate poverty in Walgampaya today.
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5. PARANAGAMA
Paranagama is a Sinhalese Buddhist village in the Kurunegala District, which is part of the Agro-climatic Zone V.
Climatically, it is in the Intermediate Zone between the Wet and Dry and receives between 75" and 100" of rainfall per annum. The village is located in the northern border of the Wet Zone, approximately 40 miles north-east of Colombo. The average temperature is 80 C and the soil is mainly of laterite loams.
Paranagama is the biggest of a group of six villages and has a population of about 1200 persons in 170 households located in an area of about one square mile. The village is situated on the secondary roadway between the market towns of Giri ulla and Allawwa.
At the turn of the century, Paranagama was composed of a few wattle and daub houses strewn alongside a tertiary gravel road. It had about five acres of paddy and coconut was grown on the compounds of the houses as a subsistence Crop.
In the late thirties about 35 acres were cleared by the Government and persons from Paranagama and surrounding villages were settled on this land. In 1948, another 50 acres were so settled with people from more distant villages.
The Census of 1953 showed a population of only 500 which, by 1963, had reached the 850 mark. At the 1971 Census, Paranagama had 1050 persons. Paddy and had risen to 30 acres and the remaining uninhabited and of 300 acres had been converted into coconut estates ranging from 1 O to 50 acres in extent.
With the growth of population, the original one-acre holdings were sub-divided and the 300 acres of coconut and had become 7 blocks owned by absentee landlords.
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With land reform, the largest of the 7 blocks was divided into 50-acre units and the properties continue to be held by ten absentee landlords.
About 65% of the people of Paranagama are of the farmer caste and about 30% belong to the Bathgama (Padhu) a menial labour caste. The rest belong to various occupational groupS Such as blacksmiths, carpenters, masons, ritualists etc. The Govi or farmer caste people were originally paddy cultivators as owner-cultivators or share croppers, but, today, many of them work as manual labourers.
Resources:
Paranagama falls within the region termed the 'Coconut Triangle" Most villages in the district are surrounded by a few hundred acres of Coconut belonging mainly to absentee landlords. Paranagama itself has, at present (after land reform), ten holdings of coconut ranging in size from 5 to 50 acres.
The home gardens in the region also have varying numbers of coconut trees and the people with home gardens cultivate banana, manioc, betel, pepper, turmeric, ginger, ják, papaw and other fruit trees, yams and vegetables. The produce is used for home consumption and the surplus is sold.
About 3% of the people own highland ranging from 5 to 10 acres and another 2% from 2 to 5 acres. The rest of the highland is in smaller blocks.
The coconut blocks provide employment to both men and women but with land reform the tempo of work on these lands has dropped. Clearing the land, which is now done two or three times a year, employs both men and women. Clearing five acres gives employment for about a week for two men and two women. Manuring, done twice a year, is often done by the same workers and it takes about twice the time as for clearing. Picking of nuts is done six times a year and may give two days work for a worker on five acres. Other tasks involve stacking of nuts and attendant chores which are performed by women. Carts are used for the transport of nuts and five men find such employment in the village.
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There is fierce competition among the labourers for the employment opportunities on the coconut lands.
Paranagama has a small-scale fibre mill, two small Copra-producing units (owned by two Muslim entrepreneurs) and there is a dessicating and coconut oil mill in the adjoining village.
Self-employment in cottage industries based on fibre has not developed in the village. However, there is some employment for women in beed-rolling and labelling and in weaving.
Paddy holdings have been sub-divided into to -acre plots. Twenty-nine per cent of the paddy holdings are still held by the original land-holding class. Thirty-four per cent have passed on to the washermen Caste, who were among the original settlers. About 32% are held by the newer settlers who had savings with which to buy land.
Most owners tend their land with the aid of kinship groups. Some of the villagers now work as sharecroppers with related families in neighbouring villages.
About 10% of the land-owning class are employed as teachers in schools within a radius of 10 miles and another 10% as clerks. A few are employed as C.T.B. drivers and watcners at the Thul hiriya Textile Mill 7 miles away.
A CTB driver may earn around Rs. 700/- per month, a teacher around Rs. 500/- and a clerk around Rs. 400/-. The "blue collar' workers can earn around Rs. 350/- per month. Textile-weaving (by women) may bring in Rs. 100/- a month and a woman may earn about Rs. 50/- a month from beedi-rolling.
The general pattern of occupations in Paranagama is given in Table I.
The people of Paranagama have access to a cinema, post-office and retail shops within the distance of a mile. The village itself has its tea boutique, cafe-cum-sundry goods Store, a School, a Cooperative society and a Grama Sevaka's office.
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Among the external resources are the Thuhiriya Textile factory 7 miles away, a Beedi factory at Dambadeniya, 3 miles away and the Power Loom Factory at Giriulla, 1 mile away, where there is also a large dessicating mill.
Access to some of the jobs in these establishments has to have the support of some influential person who would recommend the applicant.
Education-wise, the people of Paranagama are literate, but the majority have not gone beyond primary education. Of the previous generation, about 15% of the people had Completed secondary education by taking up the Senior School-Leaving Examination. But, they belonged to the landOwning class. At present, considerable numbers are in Secondary education, but only 20% sat the School-Leaving Examination. However, two are at the University and three are prenaring to enter it.
The Poverty Group:
The ongoing study of Paranagama made it easy to identify the households that were relatively poor. The earning capacity of occupations, the housing conditions and the general appearance and life style showed them up. From these poor households, about 25 were noted at random and 15 of them were chosen at random for closer study.
Table I gives the overall picture of their circumstances. The 15 households had 100 persons; the average number per households is 6.7. This is somewhat higher than the average for the village. The group had 27 earners, some of whom were part-time workers or those with irregular employment
The heads of households No. 8, 11 and 14 have retired and other members provide the income. Ali but 3 households have land ranging from acre to 1 acre. The value of the income from the and is difficult to ascertain as it varies from season to season and with the amount of care given to the culti vations. Nevertheless, the ownership of about 50 Coconut trees nrovides not only coconut for the household food but also a small crop for sale. The lands invariably yield a small Guantity of fruits/ vegetables for the household and some sale - able products as mentioned in Table II. In these circumstances
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the cash income by itself is only an approximation of the actual household income. However, households No. 9, 10 and 12 have to depend on cash income and any gifts of fruits, greens (pala) and vegetables from neighbours,
Although some of the households have several income earners, the earnings of some are low and irregular. The high numbers in the households keep their per capita income down.
Poverty is experienced most by households with low cash income and with low or no holding of land. Households No. 3, 6, 7, 13 and 15, with cash incomes at Rs. 40/- per Capital per month plus income from land, are poor but not suffering from absolute poverty.
Housing and general conditions of life:
When the Poor Group were settled on the land by the Government, they were given a small allocation of money to put up a Small house and to build a well. As a result, all the households have houses which are more or less of the same pattern, Consisting of a verandah, one room and a small kitcher at the rear of the house. All the houses are of wattle and daub with Cadjan-thatched roofs and earth floors. Spacewise, it is approximately 700 to 800 square feet and there is no spacewise inadequacy because the verandah is also used as a living room.
All the houses have a protected well and a pit latrine but Some of the children continue to use the neighbouring scrub land and not the latrine. The area around the house is otherwise kept Clean.
Furniture is sparse - generally of one or two beds per household, regardless of the number of inmates, a table in a few cases and a bench or a chair or two. Fifteen households with 100 persons had a total of 30 beds. There were no almirahs. A box and a clothes rack served the purpose. Utensils were few and old. However, households No. 4 and 12 had a radio set and household No. 10 (the carpenter) had a bicycle.
Food and Health:
The best meal was the dinner prepared by the parents of the household after they return from work. This was invariably
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of rice and two curries and greens (pala). Meat was not eaten but fish was taken (mainly dried fish) about twice a week.
The morning meal was of bread or rotti (out of wheat flour) and also the left-over rice and curry of the previous dinner. Children under 10 years were given food preference for the morning meal.
Lunch was generally a scrappy meal often prepared by an older child. It consisted of yams or jak or bread with some Curry or sambol or coconut.
There is no serious illness though some of the children appear to be under-weight. Home remedies are used for Colds and fever. The older folk show a preference for Ayurvedic treatment but all make use of the government medical facilities for any ailment they think serious enough for medical attention.
The circumstances of poverty:
The population of Paranagama has increased and the lands held by the families have become sub-divided. Those who have and today cultivate it themselves and with the support of their kin. There is no steady market for agricultural labour and land-based tasks. Competition for the jobs based on the resources of Paranagama itself is fierce.
Those in the Poverty Group with to 1 acre are for various reasons unable to increase their return from the land. They do not have the capital resources to carry out regular programmes of cultivation or applications of fertiliser on the coconut land even when the supplies arrive in the village in time. The problems of choice of crop and methods of cultivation of subsidiaries on a fully-planted coconut and have not been adequately solved. The Poor Group are too poor to own and manage cattle. Besides, they spend their time looking for work or engage in back-breaking tasks, leaving little opportunity or will to develop their plots intensively. The land alone cannot give an adequate income.
While the jobs generated by the resource base in the village are few, the competition for jobs outside is also severe and the poor of other villages also compete for them. In Some of these sources of employment there is a need for political
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patronage to secure a job. The main external resources, beSides secondary jobs in the townships close by, are the Thulhiriya Textile Factory (7 miles away), the Beedi Factory at Dambadeniya (3 miles away) and the power loom at Giriulia, which is one mile from the village.
The poor households do not have resources to spend on clothes, books etc. to pursue education beyond the primary stage and seek better employment in the way some of the children of the influential families have done. They see around them other villagers with secondary education but still looking for adequate employment. The children of the poor seek employment early in order to add to the household in Comé,
The prospects for the Poor Group are very unfavourable at present. Some progress can be made by working out easy and low-capital methods of better utilisation of the land planted in coconut. Employment possibilities can increase if factories or major development projects are started within a reasonable radius of Paranagama. Family planning to limit the size of families can also help the poor households by a control over the number of dependents.
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6. POVERTY IN THE PLANTATION SECTOR
The situation on a Tea estate
The estate sector has characteristics of its own and they differ considerably from the rural sector of Sri Lanka. The main plantations in the country are of Tea, Rubber and Coconut. Tea is the most abour-intensive and has the largest number of resident labour on the estates. The tea plantations hold, by far, the greater part of the immigrant labour-force from India, a part of which is now in the process of acquiring Sri Lanka citizenship.
The estate chosen for the Poverty Study is Ratnagiri Estate which, properly designated, is Ratnagiri Division of Palmerston Group. This group consists of 507 acres of which 455 acres are cultivated in tea, Ratnagiri is treated as an unit in the group. The tea factory, office and dispensary are on this eState.
Ratnagiri is in the Dimbulla planting district and close to other planting districts of Nuwara Eliya and Hatton. It falls into Zone IV in the agro-climatic zones. It is at an elevation of 4OOO to 6000 feet above sea level.
The property is now vested in the Land Reform Commission but it continues to be run as before as a tea estate.
The nearest postal town is Talawakelle which is 5; miles away and the estates in this area are served by Talawakelle Hospital at Lindula.
Ratnagiri consists of 265 acres. Except for the land holding the buildings and a few small garden plots, the whole area is cultivated with tea. The buildings consist of the factory, office, stores, dispensary, the labour 'line-rooms', the Manager's bungalow, staff quarters, a small schoolroom, Creche, a temple and a church. The entire land is immovable property belonging to the estate. The residential rights within the property are guaranteed only in terms of employment on the estate.
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The total population on the estate is 510 and 460 are of Indian origin consisting of 164 males and 167 females and 129 children. The income earners and the households are as follows:
TABLE
Occupation /Vo. Of /Vo. of
persons households 1. Manager 1 1 2. Staff ኣ ❖ • 11 11 3. Registered workers... 26O 1 O1 272 113
The workers (all of Indian origin) depend on a dailyrated wage System.
Since 1976 there have also been 7 Sinhalese labourers working on a casual basis but resident outside the estate.
The labour lines are constructed within close range of each other and consist of 12 lines' plus another 2 lines accommodating 27 other households. People belonging to different income classes and Castes, from that of the labourers, OCCupy small houses consisting generally, of one large room and a verandah. The staff quarters are better constructed and SO is the Manager's residential bungalow.
The caste composition is as follows:
TABLE
Caste /Wo. of families
High castes 17 Parayar 35 Pallar 31 Sakkiliyar 29 Dhoby, Barber ..., 3
Total 115
The labour recruitment is done by a high caste person who later becomes a "head Kangany' (supervisor and controller) on the estate. Access to the better classes of jobs and better opportunities are available only to the higher castes,
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Economic resources:
The economic resources available to the people living on the estate are their capacities for rendering services. Apart from the Manager and eleven on the estate staff, all the others earn an income from abour of various kinds.
There are 260 regular workers on the estate associated with 115 family groups. The general distribution of the tasks
are as follows:
TABLE
DISTRIBUTION OF TASKS (Major division of work and number of workers)
Type of work Wo. of /Males Fermales
workers -
1. Plucking - - 119 39 8O 2, Sundry work (weeding, manuring
etc.) - − 121 121 --- 3. Factory work - 31 25 O6 4. Kanganies O6 O6 5, WatChers - - - O4 O4 -- 6. Line-sweepers - - - O3 O3 --- 7. Postal sack and garden
(bungalow coolies) ... O4 O4 - 8. Orderlies O1 O1 - 9. Creche attendant O1 --- O1 10, Nursery labourer - - - O1 - O1
Total ... - 291 204 87
There are also a few subsidiary sources of income which are available to about 16 households out of the 115. Six of them have dairy cows, three or four indulge in a little trade on a very small scale. Two or three deal in the illicit sale of arrack and four engage in tea basket-weaving. The dairy business can yield up to Rs. 150/- per month, small-scale trade up to Rs. 100/- and arrack sales somewhat over Rs. 100/- per month. Basket-weaving may give from Rs. 50 to Rs. 75 per month.
Additional incomes may be earned by households by securing weeding contracts when such work is needed and it may yield Rs. 30 to Rs. 100 per month. However, one household earns Rs. 150/- a month and one other Rs. 225/- per month on this score.
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In Season some tea field workers get 'over poundage" on their work. This is in addition to their standard daily wage. However, there is no guarantee that all the workers (who are daily-rated) will get six days work in a week.
Wages and allowances paid on the estates are regulated by Wages Boards and the regulations are enforced and effective. Women and children (over 14 years of age) are paid lower rates than men.
The examination of incomes of a sample of 60 families at random showed that, about 28% received monthly incomes of Rs. 200/- or less. About 50% received Rs. 200 to Rs. 400 per month and the balance over RS. 400/- per month.
it was found that 60% of the workers are indebted to the management during the off-season. They generally borrow from the staff, from boutique-keepers or money lenders.
The general educational standard is low. About 40% of the children (including some pre-school children) do not attend school. About 30% of the people have not studied beyond the 3rd Grade and another 20% from Grade 3 to Grade 5. Only 3% go outside the estate for secondary education.
Selecting the Poverty Group:
In the on-going study of this estate, it was found that the outward appearance, in dress for example, was not always a good indicator of poverty. Some who looked reasonably well dressed were aiso, on closer examination, found to be in difficult economic straits. In selecting the Poverty Group, a number of factors were taken into account. The official estate data on wages, the number of income earners, the general pattern of indebtedness in meeting daily wants and the absence of subsidiary incomes were generally noted. On the basis of these indicators, 30 families were noted. From among the 30, a random selection of 18 were taken for closer study.
The Poverty Group:
A general picture of the 18 poor households is given in Table IV. They total 113 persons. It was noticed that the average number of persons in these households was 6.27
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persons which is higher than that of the average family on the eState.
There were 28 adult males and 33 adult females. There were also 52 children. These children alone constituted 46% of the total persons in the sample of 18 households. Thirty of the children were in the age group 0-9 years. There were 7 persons over the age of 60 years.
Taking into account all persons who could not contribute to household income, it was found that 61.9% of the poor group were dependents. To be assured of regular work on the estate is a boon but only 23 persons in 18 households were enjoying this privilege.
Children seek work as domestic servants for a small wage plus food. This is a practice only among the poorest estate households. Six families had a child each in domestic service.
None of the households owned cattle. Seven families owned chickens and the total for all these families was only 27. One household was engaged in tea basket-making.
As regards the monthly household income, eight out of the 18 had incomes between Rs. 200 and Rs. 300 per month. Three had household incomes between Rs. 300 and Rs. 500. This was the highest income slab. Seven households had incomes below Rs. 200 a month.
But household incomes are deceptive as a measure of per capita resources.
Seven of the households had per capita incomes below Rs. 36.50 which was the line of Absolute Poverty at 1973 prices. Four others had per capita incomes between Rs. 36.50 and Rs. 40. Seven households had per capita incomes between Rs. 40 and Rs. 50. This group had the highest per capita inCOne.
Four of the families which had low household incomes below Rs. 200 per month were above the Poverty Line. They were household No. 5 (5 members, 2 income earners), No. 7 (4 members, 2 income earners), No. 15 (3 members, 1 income earner).
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Housing and amenities:
Housing design and construction are at the discretion of the management. There are two types of houses currently in use - barrack-type 'line-rooms" and cottages.
The barrack-type is a long building separated into units for each household, each unit consisting of a single room and a verandah. No kitchen is provided. The householder has to make his own hearth.
At Ratnagiri, the long line-room consists of 22 rooms and each room is 12" x 14' and the Verandah is 6' x 14'. The construction of any more barrack-type duarters was prohibited in 1950.
The cottage-type has a kitchen, a room and a smaller Verandah. The floor is cemented in the new construction. It is of clay in the older buildings.
Regardless of the numbers in a household, each family group is constrained to live in their allotted duarters. If a mem ber gets married, the new Couple sometimes share a parent's Cuarters.
An improvised ceiling is sometimes constructed in the house to store firewood and keep it dry. Only in four houses of the poor group are there any beds. There are no chairs or tables but there may be a stool or two. The coconut scraper (bench type) is also used for sitting.
The clothing of the Poor Group is scanty or of low quality, The children are often in the nude. New clothes are bought only at festival time, which may be Deepavali, Thai Pongal or the New Year. In the Poor Group, when they come in for some extra money, they spend it on food. About 80% of the income is spent on food.
Among the poor, coconut shells and condensed milk tins are used as drinking vessels. But one household in the Poor Group has a battery-operated radio. Another had a radio which is not in use as they cannot afford to buy the batteries. Both radio units are very old and unsaleable.
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Education:
Education on the estate is negligible. There is an attempt to have some classes up to 5th Grade. At the time of the survey, there was only one teacher for ten classes. In the Poverty Group, only two children have gone beyond 5th Grade. This is lower than the general performance on the eState.
The poor children are unable to continue schooling because they have to prepare the noon meal and take it to their parents who may be working at a tea field some distance away from the lines. At the age of 14, they seek work. Some children in the age-group 12-14 years also help the household members in their weeding tasks. Some other poor children go out to urban centres to work as domestic servants.
As most of the workers are still Indian citizens, there are no avenues of local employment open to their children. This discourages them from pursuing their education hayond the ability to read and write.
None of the households in the Poor Group buys or borrows a newspaper. They also do not receive letters except an occasional one from India. If they need to write a letter, they get it done by one of the few people who customarily do so for the fellow workers.
Health:
The general health conditions of the Poor Group are un - satisfactory. There is under-nourishment, too. Coughs, colds and fever are common ailments. The Poor Group has one person who is dumb (Household No. 2) and one who is blind (Household No. 10). In Household No. 14, one inmate has T.B. Households No. 7, 13 and 15 have an Asthma patient. Household No. 17 has a paralytic. Two households, No. 16 and 17, have patients with skin rashes.
The estate dispensary is the chief place of treatment. The patient needs a chit from the dispenser to seek treatment or admission to the hospital at Lindula, Common colds and fever are treated with home remedies and sometimes those affected consult the ayurvedic physician. The T.B. patient
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receives the attention of a government western-dualified doctor.
Causes and circumstances of poverty:
The estate workers are under a daily-rated wage system and about 50% are not sure of regular employment. The household's income is determined by the number of days work available and the number of income receivers in the household. There is also the possibility of earning from contracts for weeding. Of the 18 households in the Poverty Group, only five have weeding contracts. These households earn about Rs. 30/– per month extra on this account.
None among the Poor Group has other subsidiary sources of income as from petty trade or from a milch cow. But the Poor Group loses working days on account of illness.
The Poor Group also suffers on account of having a considerable number of dependents (vide Table IV).
Some of the estate families belong to the extended or joint family system. This promotes a better management of incomes and resources. This type of family organisation is more common among the higher caste groups and not among the Poor Group.
Rice, flour and sugar are supplied through the estate management. Other items have to be bought at boutiques which tend to exploit them by overcharging or giving short weight. There is no cooperative society on the estate.
Food Consumption does not have a steady, regular pattern. The quantity of consumption varies with the ready availability of cash at the time and more is spent at festival times or on Ceremonial occasions. The low caste groups in particular are addicted to consuming arrack.
Ceremonies are part of the social life on estates and families get into debt because of higher consumption at these times.
Particularly among the low caste, poverty is accepted as a condition of life. They have little prospect of favoured treatment by the high caste kanganies or labour foremen.
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COMPARATIVE OBSERVATIONS ON THE MICRO STUDES
The micro-studies of poverty which have been presented in the preceding sections attempt to depict six different profiles, five of which are in the rural sector and the other in the estate sector. These profiles have been prepared from information gathered from concrete situations of poverty investigated in the rural and estate sectors. It was not possible to select situations which are representative of all five zones covered in the Consumer Finance Survey. Mirissa, Horape and Henegama fall into Zone of the Consumer Finance Survey. They, however, present three distinctly different profiles of poverty and indicate the wide variety of socio-economic conditions in this zone. While Horape and Mirissa represent Communities which are located on the fringe or relatively close to the urban coastal belt, Henegama is a village which is further removed from this urban belt and is situated in the plantation sector in the South. Walgampaya and Paranagama are both in Zone IV of the Consumer Finance Survey. But again, while Paranagama is in the low country coconut area, Walgampaya presents a different situation located as it is in the central part of the country and encompassed by tea plantations. Ratnagiri is a typical plantation community and provides an insight into poverty in the estate sector.
In our analysis of poverty based on the data of the ConSumer Finance Survey, we tentatively arrived at a Poverty Line defined by the per capita income of households which is in the region of Rs. 37 per month at 1973 prices. The study also indicated that the incidence of poverty was high in Zone IV and from the data available, this poverty seemed to be Concentrated in the rural sector of the Kandyan area. The profiles of poverty which have been presented in the micro-studies do not attempt to provide very accurate measurements of poverty which can be used for comparative analysis of the incidence of poverty in all the situations that have been studied. What they attempt to do is to provide insights of a qualitative kind which
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enable one to define some of the essential characteristics of poverty as they are manifested in typical situations in the rural sector and the plantation sector. Within these limits the profiles of poverty support some of the broad conclusions in the macro-analysis in Part of the study. Walgampaya which is in the central region in Zone IV appears to have the largest proportion of households which are close to or below the Absolute Poverty Line. The village study estimates that approximately 30% of the households in the community in Walgampaya fall into the category which could be described as being desperately poor. The estimate of the poorest households in Henegama which have per capita incomes around the Absolute Poverty Line, is estimated at around 20% of the total community. When we come to the communities closer to the urban belt - Mirissa and Horape - the comparable figures are 5.3% for Horape and 9.3% for Mirissa. For Paranagama the estimate would be approximately 20% and in the plantation Community it would be about 11%.
lf we measure poverty in terms of income, the microstudies reveal a somewhat varying pattern. The relative poverty level appears to be different in different situations. In Horape for example, among the households selected as the worst affected in the community, only two househods have per capita incomes bellow Rs. 40. The per capita incomes in the other households range between Rs. 50 and Rs. 70 and are well above what would be regarded as the Absolute Poverty Line. In the estate sector, 11 households out of the 18 selected fall below the Rs. 40 per Capita level. In Mirissa the Comparable figure is 12 out of approximately 500 households. In Henegama, out of the 15 that have been selected only 2 households have per capita incomes slightly above Rs. 40 per month and in Walgampaya out of the 20 that have been selected, 15 fall below Rs. 40, the other 5 ranging between Rs. 40 and Rs. 50. The presence of a large mass of undifferentiated poverty is evident in rural situations such as Wagampaya and Henegama. A more differentiated picture Comes out of the profiles of Horape, Mirissa and the plantation community. These communities fall into the segment of the economy which have either more regular or more diversified income-earning opportunities. We saw this situation in our
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analysis of the income data in the Consumer Finance Survey where both Zone and the estate sector are least affected by Absolute Poverty.
The impressions that have been gathered regarding the food habits of the poorest households in these communities that have been studied confirm that the conditions are least satisfactory in rural situations that are represented by Walgampaya and Henegama. It is the Walgampaya village which probably would have the highest protein and nutritional deficiencies. This is probably related to the income situation as well as the food economy of the village itself. Walgampaya has comparatively little land devoted to the cultivation of the staple food, rice. This combined with an overall resource situation which is very poor would inevitably work against the poorest households, which would have to buy the major share of their food requirement while at the same time being unable to earn sufficient cash income. We saw that the poorest households in Walgampaya very rarely had any animal protein in their diet whereas all the other communities which have been studied do have either meat or fish for a few meals during the week. The studies, however, do not reveal any acute insufficiency of food among the poorest households that have been investigated in the various poverty situations. In certain situations such as Henegama and Paranagama, the morning meal does not appear to be substantial. In Walgampaya, the households have only one rice meal a day with yams, roti or bread for the other meals. The instances where households were reported to be doing without a main meal owing to Absolute Poverty were very rare. This is mentioned in the Mirissa study and the Walgampaya study,
The information gathered in the micro-studies, however, can only provide a general impression regarding the availability of food for the poorest households. Normally, an innate sense of pride prevents most households from revealing to an outsider that they are unable to provide themselves with the minimum food. In these studies, however, the information has been collected by participant-observers who have identified the living conditions in the village over a long period. The observations that have been recorded although they may not be exact when they deal with quantitative estimates, are fairly
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reliable when they present the general level of living in the household. It is evident from the data that, in villages such as Walgampaya and Henegama, the poorest households who constitute as much as 20-30% of the rural community suffer from an insufficiency of food. This comes out from the revealing details regarding the pattern of the daily food intake. In Certain situations the households are compelled to give preference to the food requirements of children, particularly in regard to the morning meal. In several situations of Absolute Poverty, observed in these six studies, the adult members of the households managed with little for the morning meal. Altogether, the condition of these households is a precarious one. With no assured supply of food and dependence on casual income, illness or any personal disability of the incomeearners Could easily push them into a condition of semi-starVation. The situation is slightly different in the Estate sector where the wage-earners obtain credit for the food requifements from the estate management and for this reason are able to enjoy better conditions of food security than the poorest households in the other sectors of the economy.
While insufficiency of food would obviously be the hard Core of poverty, it would be necessary to see this manifestation of Absolute Poverty in association with its other characteristics. Hard-core poverty is manifested in the poor conditions of Shelter and inadequacy of living space; in the lack of access to satisfactory health facilities; in poor environmental sanitation reflected in unsatisfactory sources of drinking water, inadequate toilet facilities and so on, and in the lack of skills in literacy and numeracy for conducting the minimum relationships with the outside world. The poverty in housing was most pronounced in the Estate sector. There was both poor environmental sanitation and severe overcrowding. The housing Conditions in the Estate Sector have been discussed in some detail in Part of the study. The problems which were set out there have been clearly illustrated in the micro-study of the plantation community. In the other micro-studies, we observe a Somewhat unusual feature in regard to housing. There appears to be considerable variation in the levels of housing among the poorest households that have been surveyed. An appreciable number of these households seem to enjoy housing conditions
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which at the level of Absolute Poverty in which they live are fairly satisfactory in terms of the materials used for the structure and the living space available per person. In Mirissa for example, a number of houses in this Poverty Group were constructed with bricks and tiles and had cemented floors. In many cases, living space exceeded 50 square feet per head. The situation is similar in Horape and Paranagama. The exceptions appear to be Henegama and Walgampaya. While these villages too had a number of houses built of bricks with tiled roofs, they generally seemed to suffer from inadequacy of Space. Most of the houses are either two-roomed or oneroomed.
The quality of housing becomes a critical indicator when examining the quality of life at different income levels and determining the point at which households raise themselves above the Condition of Absolute Poverty and begin to possess the capacity to satisfy basic needs and bring about a qualitative change in their living. Households in Absolute Poverty lived in housing conditions in which the specialised use of living space is not possible. They often lived in one large room or at best two in which all activities have to be undertaken - sleeping, eating, storage of goods, entertainment of relatives and friends, study and so on. Housing facilities in which there is 'Some capacity for specialised use of living space and interior arrangement of activities denotes a certain qualitv of life which is above stark poverty. It is true to say that, in a large number of households which have been selected from the Poverty Group in the micro-studies, the level of deprivation in regard to housing was not absolute. In many instances the per Capita Space was adequate. There was some specialisation in the use of space. Household assets, however, in the nature of furniture and other equipment were very few. But even households in this poorest segment have a use of living space which could generate a demand for consumer durables of Various kinds. In this sense, households are likely to have a higher level of expectations and respond with a corresponding sense of deprivation to their present conditions.
The conditions relating to health reflect the benefit of the free health services that have been fairly well distributed
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throughout the Island. Health Conditions appear to be worse in the Estate sector where the poorest households contain a number of cases of serious disability and illness. In the other rural situations of the study, the poorest households appear to have satisfactory access to the government medical facilities as well as to the ayurvedic medical system. All the studies report that conditions relating to morbidity are fairly satisfactory. In many cases, even the poorest households have had access to immunisation facilities. None of the studies has discovered any endemic condition of ill health or high rates of mortality, particularly infant mortality, which are specific to the Condition of Absolute Poverty. The studies of Walgampaya and Henegama, however, report evidence of physical underdevelopment and malnutrition. In many of the situations studied, environmental sanitation seems to be poor. This is true of Paranagama, Henegama and Walgampaya. Few of the households in the Poverty Group have no latrine and several households have to share a common well. Some of the wells used for drinking water have no protecting wall and other safeguards against pollution. Poor environmental sanitation is one common characteristic of these pockets of acute poverty. It is, however, not entirely a result of a lack of resources in these households. The conditions relect a level of sanitation to which households appear to have been traditionally accustomed. Greater cleanliness in individual households and better collective action for improving conditions pertaining to environmental sanitation for the whole poor community is possible regardless of their present poverty.
It was pointed out that the possession of skills in literacy and numeracy was also another determinant of the level of living. Lack of these skills create a condition of absolute dependence in regard to all relationships which the households need to have with the outside environment. In a Rural sector which is getting rapidly monetised and where state activity plays a dominant role, communication with the outside world for various matters in daily living requires a minimum level of education. The micro-studies reveal that the educational level in most households in the Poverty Group did not vary very significantly from the average in the village. While none of them reported participation at the tertiary level, the years of
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schooling of the inmates in the poorest households and School attendance seemed to show only marginal differences in comparison with the more well-to-do part of the village. It Would, however, be correct to conclude that, in these groups, children would seldom complete their secondary schooling. The situation in the Estate sector we saw earlier is a contrast to the rest of the country. In the plantation community, educational levels are significantly lower. In the Poverty Group, only two children appear to have been able to go beyond the 5th Grade. The plantation community, while living in more favourable conditions as regards income and nutritional level, is seriously deficient in regard to two basic needs-housing and education. The pattern of poverty in the Estate sector is, therefore, one in which poverty in housing and poverty in education are the
Estate sector are an integral part of plantation agriculture based on Indian resident labour. The stateless condition of the estate labour, the lack of mobility and eligibility for employment in other sectors of the economy have locked the resident labour into a situation in which the large majority of the households
a framework of expectations, higher levels of education and advancement through education have little meaning.
The studies do not reveal major non-economic factors such as caste playing any significant role in either pushing groups into conditions of poverty or preventing them from overcoming these conditions. In most communities, caste is not a significant factor in the composition of the Poverty Group; the Poverty Group comes from various castes including the socalled high caste. In Walgampaya the multi-caste village, the castes which are traditionally lower in the hierarchy have succeeded in breaking into important socio-economic and political positions in the village, and in that way have modified the traditional power structure. These castes have found it to their advantage to organise themselves politically and establish links with political groups which sought their electoral support. At the same time, they have taken to trades and other economic activity which the Goyigama elite had avoided. The Poverty Group in Walgampaya contains both the so-called Goyigama high caste households and the traditionally inferior
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castes. The two exceptions where caste has distinctly contributed to the marginalisation of households are Mirissa and the estate community. in Mirissa, the small group which had undertaken non-fishing activities in this community and which belongs to the Durawa group was not able to participate in the changes that took place in the village with the introduction of the new technology as they were traditionally not in the fishing occupation. But, although this is true of a few Durawa households, other households in the community which did not belong to the main fishing social group - the Kara We caste - were able to take part in various other activities, such as trade and improve their position. And again, while the Poverty Group contains a few Durawa households, they contain households from the main fishing community as well. In the estate community, a large number of the impoverished households belong to the castes which are traditionally among the lowest in the hierarchy, Caste relationships appear to play some part in the network through which various fringe benefits such as weeding contracts and other, non-wage employment are given. It may also affect regularity of work. While there is ; evidence that such networks would continue to operate, affecting the social and economic position of certain castes, it is nevertheless true that the growth, of the trade union movement has brought about significant changes in the structure of power in the estate communities and provided better means of access to the working population as a whole.
The micro-studies also reveal that poverty is in many instances closely related to the large size of the household and the high ratio of dependents to income earners. This appears to be particularly true of Walgampaya and the plantation community. The analysis in Part I, we saw, showed how a large number of families in the income slabs below Rs. 200 and Rs. 200-400 are kept below the Absolute Poverty Line on account of the large number of dependents and persons in the economically inactive age groups. Large families in the Poverty Group might be both the cause of persistent poverty as well as its effect.
It is important to distinguish between the pattern of poverty in the Rural sector and the Estate sector. The insecurity and low income in the wage - earring sector in the estates is
] /8

of a very different kind from that of the Rural sector. In the propertyless, wage-earning sector in the estate, dependency in old age appears to have more acute characteristics of deprivation and poverty than in the Rural sector where property and assets, however small, provide the old with a means of Controlling their environment. But, at the same time, during the working life, income, even at a low level, is assured to the estate worker with some degree of regularity Households can obtain their basic requirements on Credit from the management. The estate management is, therefore, 'responsible" for the resident estate worker in a more comprehensive form than the employer in a normal contractual relationship. But the quality of this form of security should not be overrated. It has overtones of the relationships in which the worker is a capital asset like the slave and has to be maintained at a minimum level of physical well-being to supply the needed labour.
out of a different set of circumstances. It is related to the ownership of income-earning assets and the access to income-earning opportunities in a labour market within and outside the village. The income-earning opportunities for labour are not organised in the manner in which the formal urban sector or the plantation sector with resident labour have organised them. Seasonality, the casual character of the work, and the unorganised nature of the demand for labour imparts a pervasive insecurity to the livelihoods of the rural poor. Indebtedness, illness, death of an income-earner, crop failure may have dire irreversible consequences for a rural household. The insecurity which afflicts the rural poor in these circumstances is very
Estate sector.
The contrast in the patterns of poverty between the Estate sector profile and the Rural profile points to certain conclusions which deserve to be investigated further. Whereas food insufficiency is the main characteristic of poverty in the rural situation, the social components of poverty - elements such as "poverty in education" lack of access to health care, "poverty in housing" and so on - do not manifest themselves in an acute form. The social welfare programme appears to have succeeded in ameliorating some aspects of poverty, but,
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in the process, has sustained a significant share of the population (20% of households in Henegama, 30% in Walgampaya) in an undernourished and physically underdeveloped condition. The modern health-care systems, well distributed to reach the poor, appear to have a capacity of reducing mortality and enabling people; to have a longer span of life at lower levels of physical well-being. Indicators such as life expectancy in the context of poverty as is to be found in the Rural sector in Sri Lanka should, therefore, be examined more carefully before they are accepted as definite indicators of an improvement in the quality of living. On the other hand, if we examine the living conditions in the Estate sector, we have a situation which is more or less the opposite. If food sufficiency is the criterion of households having reached a level of living above conditions of Absolute Poverty, the estate households have fared satisfactorily. At the same time, along with food sufficiency, they suffer from serious inadequacies in other components which are needed to ensure a minimum duality of life - health, education, and housing.
At this stage of the analysis, it would be useful to place the Poverty Groups in their economic setting and examine how the distribution of resources and the socio-economic structures in their communities are related to the persistent poverty of these groups. We saw that Mirissa and Horape illustrate patterns of poverty somewhat different from the rest. In Horape, the process of urbanisation has brought diversified income-earning opportunities to the rural community which live there. Land began to acquire value for residential purposes in this process. Village communities which are caught up in the expansion of the Urban sector would invariably benefit. Even small plots of highland which had yielded little income in the past are converted into assets of high value. It is only a very small group in the village who would have no land at all or whose ownership is in such fragmented holdings that it is of little value who are likely to get marginalised in the process of urban expansion. But even here the growth of urban activity provides a diversified labour market for such persons and enables them to earn reasonable livelihoods. This is by and large the process which we have witnessed in Horape. It would indicate that villagers in the urban fringe would generally
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improve their living conditions. Their situation would be very different from the propertyless urban poor within the city who are uprooted from their village links, have no assets of their own and are cast into the urban labour market in which the level of unemployment is rising. Therefore, it is to be expected that the poverty that we observe in Horape is more of an accidental nature than of a structural kind. It is derived from sudden loss of employment, from situations which have led to migration to Horape from another village, a high dependency ratio and similar circumstances. It is invariably a situation which afflicts those who own no land of economic size.
In Mirissa, the situation is somewhat different. Here the Poverty Group consists largely of households who have been marginalised as a result of the introduction of a new fishing technology. The government programme, which introduced mechanised boats for deep-sea fishing, led to an alteration of the pattern of ownership of resources, the structure of power and the distribution of incomes in the village community. It bypasses the traditional fishing elite who owned the equipment required for the traditional modes of fishing which relied heavily on deep-sea fishing. The government programme reached out to those directly engaged in fishing - the fishing crews which worked for these elites - and provided them with mechanised boats under a hire purchase programme which gave them access to new resources, freeing them from their dependence on the traditional power holders in the village. While the introduction of the new technology did to some extent overturn the old power structure in the village, in the process, it displaced some of the village crafts and economic activities which were organised round the traditional fishing technology. The import of nylon nets reduced the use of . local nets and other coir-made items. Coir-spinning ceased to be lucrative. In this situation, however, most of the coir workers Could not find alternative types of coir craft or other incomeearning opportunities. A combination of coir-spinning and manual labour did not provide enough income especially when the number of dependent members in the household was con siderable. A few of the coir workers were of the Dura wa Caste and in the local situation they could not readily have access to fishing operations which were controlled by the Karawa
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caste. They continued in coir work and other tasks that were less lucrative. While the new technology led to a reorganisation of the groups engaged in different types of fishing, a few of the fishermen engaged in subline fishing using small boats, were disadvantaged. It is also possible that the new technology together with changes in the Coastal area had an adverse effect on the fishing operations close to the shore and reduced the catch. Not all the crewmen were able to find adequate and Continuous employment in the new activity and in the new distribution of functions in the fishing operations. The poorest segment of the Mirissa community which has been discussed in the micro-study were mainly those who were adversely affected or bypassed by the new technology.
Walgampaya, Henegama and Paranagama present three interesting examples of poverty arising out of village economies which are mainly agricultural but which are organised on a very limited resource base. They illustrate the problems of village economies where, on the one hand, income-earning opportunities in the village have not expanded to keep pace with the increasing workforce, and on the other, the labour markets outside the village had not generated sufficient demand for village labour. All three villages exist alongside the plantation sector. Walgampaya is adjacent to the mid-country tea plantations, Paranagama is located in the Coconut area with coconut plantations surrounding it and Henegama is in the environs of the low Country tea plantations. The land resources within the village as a whole are quite small. For Paranagama with 170 households, the total extent of paddy land was approximately 30 acres and the highland (exclusive of coconut estates) available to the village was approximately 200 acres. In Walgampaya there were 271 households. The total land resource consisted of 254 acres, 193 of which was highland and 61 was paddy. In Henegama, the total number of households was 176. The village had 97 acres of paddy and 347 acres of highland. In terms of land resources in proportion to the population, it would be seen that Walgampaya is the poorest. As pointed out earlier, it has only a limited land extent for cultivation of the staple food and the output of this extent of paddy is far below the requirements of rice for the village population. The situation is a little better in Henegama
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both in respect of paddy land and highland. The overall land resources available to the village would, however, indicate that agricultural activity, particularly at its present low level of technology and output, would be able to support only a very small part of the population in the village. As is to be expected, the distribution of land in the villages is skewed, but the structure of land ownership is not such that few families own substantial extents of land. On the whole, land holdings are small, the largest seldom exceeding a range between 5-10 acres. While this structure of land ownership does not reflect gross disparities, the limited resource base not permitting such disparities, the inegalitarian distribution of land as we have it, inevitably results in a large number of households being deprived of any reasonable access to land. As might be expected, it is these households which are pushed to the margin of Absolute Poverty.
But landlessness itself would not have been a cause of AbsolutePoverty if the village economy was viable enough to create a market for labour. This, the village economy could not do to any appreciable extent except to provide opportunities for casual labour and for seasonal employment as well as for domestic services in the more well-to-do households. The Service relationships that existed in the past between the well-to-do families in the village and the poorest families and which provided some form of employment and a source of inCome transters, appear to have contracted and dried up. The village elites themselves have become more outward-looking, using their resources for upward social mobility, education of their children and employment in the Urban sector. The leadership given by these elites to the development of the village economy itself has been not very significant. Meanwhile, their capacity to extend patronage and sustain the traditional patron-client relationship has also contracted and even dried up. In all this the poorest segments of the village have been confronted with a relatively stagnant village economy or at least a village economy which was not expanding fast enough to absorb the growing workforce and at the same time a loosening of the patron-client ties which had supported them in the past.
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The main market for village labour was, therefore, outside the village itself and this was available in the commercial plantation sector. But, if we examine the situations in Walgampaya, Paranagama and Henegama, we find that, with the exception of Henegama, the commercial plantation sector could do very little to expand the labour market for village labour. In the case of Walgampaya, the tea plantations were more or less adequately supplied with resident Indian labour and the demand for village labour was marginal. The demand would be residual and, therefore, provide only a very casual and irregular source of income. In the case of Paranagama, of all the perennial crops, the coconut plantations made the least demand on labour. One labourer was adequate for 10-15 acres. The entire Coconut plantation of over a million acres supports a workforce which does not exceed 100,000. The coconut plantations could have introduced new and more intensive agricultural systems in the coconut plantations through interplanting, pasture, dairying and so on. But, under the previous ownership, proprietors of the coconut plantatiors were reluctant to undertake an enterprise of this nature and to integrate the village economy with the plantation economy. Prospects, however, now exist for such an integration after the land reform. In Henegama, the plantation economy depended largely on the supply of village labour and, therefore, the propertyless households had a ready market for their casual labour in the adjoining estates. This, to some extent, alleviated their situation. It would probably account for the marginal differences that exist between the proportion of the Poverty Groups in Walgampaya and that of Henegama. It has to be pointed out, however, that, in the case of Walgampaya, the village is in fairly close proximity to urban centres and is not typical of some of the Kandyan villages which are far removed from access to urban labour markets. Walgampaya is, therefore, likely to represent a situation which is somewhat better than the average village in the Kandyan area. Caught between this limited resource base and the Stagnant village economy on the one side and a plantation economy which fails to integrate itself effectively with the village economy and offer an expanding market of incomeearning opportunities on the other side, the propertyless households or the households with uneconomic landholdings in the village have been pushed to conditions of acute poverty.
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There is, however, another aspect which ought not to be neglected in analysing the use of resources and the manifestation of poverty at the village level. The village agricultural systems of the areas we have been examining have been traditionally geared to subsistence agriculture and within this subsistence system the efficient management of agriculture was found largely in the lowland rice cultivation system. The highland agriculture was generally of a migrant type and seldom demanded the intensive management and the cultural practices of a settled system. As a result it might be argued that the agriculturist in the peasant economy seldom looked on a small highland holding as a valuable agricultural resource. In contrast, we could examine the agricultural systems in the North of Sri Lanka where a highly efficient intensive agriculture has been developed on small highland allotments on the basis of dry farming and supply to a commercial market. This approach to highland agriculture was absent in the village economies in the South, the Dry Zone and the central region. It is possible to argue that many of the small highland allotments which are owned by households in the Poverty Group are Capable of intensive development under a well-managed highland agricultural system. Examples have been forthComing in one or two areas in the peasant economy such as in the case of vegetable cultivation and tobacco cultivation. But the intensive and efficient development of highland smallholdings in the village would require organisational and technical inputs which the households in the poorest segment are not capable of undertaking on their own initiative.
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ADMINISTRATIVE DISTRECTS,
AGROCLMATIC ZONES AND PRINCIPAL TOWNS IN
SRI LANKA
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