[Marxistindia] Polit Bureau Communique

[news from the cpi(m)]

June 3, 2020
Press Communique
 
The Polit Bureau of the Communist Party of India (Marxist) held its first
meeting through video conferencing on June 2, 2020. It has issued the
following statement:
 
Kerala Model
 
The Polit Bureau hailed the people and the LDF government for the exemplary
manner in which the state is combating the Covid-19 pandemic. Having
flattened the curve of the rise of infections, Kerala has now intensified
its efforts to meet the challenge of the second wave as people are returning
from abroad and different parts of India into the state. The 'Kerala Model'
has been lauded internationally. But in India the central government refuses
to learn from this experience. 
 
Modi Government's Failure
 
In contrast, the central government has now virtually left the Indian people
to fend for themselves in combatting the pandemic. PM Modi, having declared
an unplanned, unilateral, abrupt lockdown, has neither used the period of
sixty three days (before easing restrictions) for either augmenting the
health facilities required to combat the pandemic nor in providing relief to
the people who have been agonized cruelly  by not getting any time to
prepare to meet the consequences of the lockdown. Having unilaterally
declared, without consulting the state governments, the central government
is now shifting the burden of bearing the consequences of the lockdown,
particularly the humungous humanitarian issue of crores of migrant workers
with their families moving across the country on to the shoulders of the
state governments. Modi refuses to part with the thousands of crores of
rupees he is collecting in a private trust fund under the PM's name, to the
states. 
 
The easing of restrictions, is, once again happening in an unplanned fashion
with the central government abdicating its responsibilities and leaving it
to the States to decide. Instead of containing or controlling the spread of
the pandemic or the death toll, the lockdown period has seen a constant
spike in the numbers. On March 24, 2020 India had 564 positive cases and 10
deaths. Two months later on May 24, 2020 the were 74,560 active cases and
3,867 deaths. As of June 2, these figures stand at 2,07,615 and 5,815.
 
All through the period of the national lockdown, instead of single-mindedly
focusing on combating the pandemic and providing relief to the people, the
central government went about systematically implementing its aggressive
agenda of communal polarization and the pursuit of neo-liberal economic
policies. The Polit Bureau condemned the targeting of the Muslim minority
community, the arbitrary arrests and detention of those who took part in the
peaceful protests against the CAA, NRC, NPR and all voices of dissent under
draconian laws like the Sedition Act, UAPA and NSA. This lockdown period is
also being used by the central government for the centralization of all
authority and power in its hands completely negating a basic feature of our
Constitution -  federalism. 
 
Financial Packages
 
On June 1, 2020, the central government announced some more financial
packages over and above the Rs. 20 lakh crore package announced earlier.
This Rs. 20 lakh stimulus was a re-packaging of earlier schemes with the
additional commitment of expenditures being around a mere 1 per cent of our
GDP. The package was essentially one of making available loans which is not
government expenditure on grants that can provide relief. 
 
This financial package is the blueprint for implementing the neo-liberal
economic reforms, creating new avenues for profit maximization by foreign
and domestic corporates,  aggressively pursuing privatization of all
national assets, sale of public sector units and opening up all sectors of
the economy for FDI.
 
This is accompanied by a vicious attack on the labour laws. In at least ten
states, these laws are being virtually nullified using the pretext of the
national lockdown.  This will be firmly resisted by the people.
 
Latest Announcements: On June 1, with much fanfare the government announced
new Minimum Support Price (MSP) for certain agricultural products. The
increase compared to last year's MSP is merely 2 per cent for paddy and
likewise for the rest of the commodities. This increase is much less than
the cost of production that has gone up during the last one year. Far from
providing any relief this is bound to push our peasantry into greater
indebtedness. The government once again announced several measures of making
loans available for the MSME sector. Loans are not relief. What the MSMEs
require is relief. The earlier 20 lakh package included the previous RBI
announcement of Rs. 5.2 lakh crore of loans for the MSME sector at borrowing
rates lower than in 2010. But there were no takers. Commercial banks were
forced to redeposit this money back with the RBI. It is simple. Unless
people have the purchasing power to buy what the MSMEs produce, the economy
simply cannot revive. No amount of loans can revive the economy unless the
people's capacities to buy increases. This can happen only through direct
grants. This, the Modi government refuses to do with contemptuous
callousness. 
 
Economy Battered
 
The Indian economy was already in a tailspin plunging into a recession
before the Covid-19 pandemic impacted us.  The GDP growth rate figures for
the year 2019-20 have been officially released on May 29. This is a
eleven-year low of 4.2 per cent against 6.1 per cent in 2018-19.  The GDP
growth rate slipped to 3.1 per cent in the fourth quarter, i.e.,
January-March, 2020.  Many international rating agencies and independent
domestic institutions estimate the fall in the GDP growth rate to be even
more than this.  This data pertains to the period before the lockdown except
in the last week of March.  
 
The pandemic and the subsequent lockdown have further destroyed a large part
of economic activities, that severely impacted on the living conditions of
the vast majority of our people.
 
Fiscal Packages: Most of these packages are simply unrealistic, apart from
being totally useless to providing relief to the people, because the revenue
collections of the government have fallen drastically. The Gross Tax
Revenues (GTR) has fallen by over Rs. 70,000 crore and the Corporate Tax
Revenue (CTR) by over Rs. 1,06,000 crore. The actual GTR collected was 7.1
per cent and the CTR is 8.8 per cent lower than the revised estimates
presented in the February 2019 budget. With such a massive shortfall in
governmental revenues, all these grandiose announcements will only remain on
paper. Despite all announcements of cheaper loans, the gross investment in
the economy has fallen by more than minus 6 per cent. 
 
Attack on States' Finances: This shortfall in governmental revenues will
reduce the share of the states who are already starved of finances. The GST
compensation dues have not still been paid by the Centre to the states.  All
states have been seeking financial assistance to combat the pandemic and the
economic impact of the lockdown. The Centre has refused to transfer funds to
the states who are in the frontline of combating the pandemic.  
 
 
Public Health
 
This period of more than two months has clearly exposed the total inadequacy
of the public health services infrastructure in the country. In its drive to
privatise everything, the Modi government has virtually dismantled public
health care that is taking its toll in this pandemic. The Polit Bureau
reiterates its demand that, at least now, the central government must spend
a minimum of 3 per cent of the country's GDP on public health care. 
 
Digital Education
 
The lockdown came as the academic year was ending and when examinations were
about to take place. This has disrupted the future of a generation of
students. This also disrupts the future of our country. Using the lockdown,
the central government is seeking to implement its retrograde education
policy, unapproved by parliament and imposing digital teaching/learning
methods. The digital divide should not be super-imposed on our country's
education system, adversely affecting the future of India. The Party had all
along opposed and continues to oppose the replacement of traditional
pedagogical teaching in schools and colleges with digital methods. During
this period of the pandemic and the consequent disruptions, digital methods
may be employed so that the academic year is not disrupted. But this can
never be the replacement. Even this must only be utilized only where there
is universal access to digital equipment by all students in a concerned
area. The Party opposes any digital divide in education. 
 
The central and state governments should reschedule the academic session so
that examinations can be conducted in the normal way and students do not
suffer the loss of a year.
 
India-China Standoff
 
The Polit Bureau noted with concern the standoff that has occurred in
various places on the Line of Actual control in Ladakh and Sikkim. It
expressed the hope that the talks being held through the established
mechanism at the defence and diplomatic levels will help to resolve the
issue and maintain normal relations between the two countries.  
 
CPI(M) Relief Work
 
The Polit Bureau noted that the CPI(M), its members and all its units made
concerted efforts in all the states to provide  relief to the people who
lost their jobs and livelihood and food to the hungry during the period of
the national lockdown.  The Polit Bureau called upon all Party members and
units to continue its relief activities, particularly the much-needed relief
for the migrant workers.
 
Central Committee Meeting
 
The Polit Bureau decided to convene a Central Committee meeting in July,
using digital technology like done for this PB meeting.
 
All India Protest
 
In the current situation when at least  an additional 150 million people
have been rendered unemployed during the lock down period adding to the
overall huge numbers of the unemployed. A vast section of our people have
lost all means of livelihood. The heart rending experiences of hungry
migrant workers on the roads marching back home has shown the depths of
huger that a sizeable section of our people are suffering today. The PB
decided that protests against these conditions must be organised all across
the country. These protests will scrupulously observe the regulations and
restrictions prevailing in each area maintaining physical distancing,
wearing protective masks etc.  The Polit Bureau has given a call to observe
an all India protest day on June 16 demanding the following: 

1.    A cash transfer of Rs. 7500 per month for a period of six months to
all families outside the income tax paying bracket.

2.    Free distribution of 10 kg foodgrains, per individual, per month for a
period of six months.

3. A minimum of 200 days employment under MNREGA with enhanced wages. Extend
employment guarantee scheme to the urban poor. Immediately announce an
unemployment allowance to unemployed persons.  
 
4.  Stop the loot of national assets, privatization of the public sector and
stop the scrapping of labour laws.  
 
 
 
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