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ECONOMIC PROSPECTS |
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CONDITIONING
FACTORS.
THE ECONOMIC ACTIVITY IN A GIVEN REGION depends on
the availability of resources, on their effective use and on the
level of social awakening of the people. In the wake of the
development of modern means of transport and communications distance
is fast diminishing; markets are fast widening and inter-regional
dependence and specialization in production is on the increase.
Under these circumstances while estimating economic prospects of a
district, it is necessary to take into account the factors that are
likely to raise the general level of economic activity in the
country.
Our country has accepted the principle of balanced
economic growth through implementation of a series of developmental
plans, the first of which has already been completed and the second
is being implemented. To the extent that these plans are successful,
economic prospects of a district will be favourably affected. No
attempt is made, in this chapter, to assess in detail the impact of
the plans, though their general influence is always borne in mind.
Economic prospects for the district of Kolhapur, as
visualised in the preceding chapters of this volume, appear to be
bright. The expanding sugar industry, the multi-purpose
hydroelectric project of Radhanagari, the manufacture for the first
time, of aluminium that the Koyna hydro-electric project envisages
are the principal factors calculated to shape the economic
prospects. The district has been very fortunate to get, almost
simultaneously, increased irrigation facilities and increased supply
of electric power. Irrigation facilities not only bring new land
under plough, but enhance the productivity of land under
cultivation, and also make rotation of crops possible. Supply of
power, as is well known, is an essential pre-requisite for
industrial development. Even then, it is not possible to anticipate
with any definiteness the economic prospects of this district; for a
variety of factors has to be taken into consideration the behaviour
of which cannot be forecast with accuracy. These factors, among
others, are enterprise, availability of finance and expert
knowledge.
AGRARIAN REFORMS.
The district is primarily agricultural. In the
absence of any scope for bringing new land under cultivation, the
available land must be cultivated intensively. The Agricultural
Depart-ment has launched an intensive drive to increase the yield
per acre. It is extending to the cultivator better and modern
methods of agricultural operations, and impressing on his mind the
importance of manures and seeds of improved strains. Composting city
and village refuge will add to the cultivators manure supply and at
the same time establish a new bond of co-operation between the rural
and the urban sectors. Inculcation of the spirit of co-operation
will certainly place the isolated and poor cultivators on a better
economic footing. It is to the success of these measures that the
economic prospects of the district are related.
The multi-purpose project at Radhanagiri, is a major
project which will considerably enhance the economic prospects of
the district. The river Bhogawati which is now bunded, used to run
practically dry in the summer. Villages on its banks could not
depend on it for an assured water supply. As the region is hilly,
flow irrigation is very expensive. The water in the river has to be
lifted for irrigation purposes. The reservoir at Radhanagari is to
be used for irrigation as well as for generation of electricity
needed to lift water for irrigation. The project, when completed,
will benefit the district [Taken from " First Five-Year Plan, Bombay
State, Kolhapur District."] in the following way:-
(1) An assured water supply to irrigate 8,000 acres
of sugarcane and 10,000 acres of rabi crops from Radhanagari up to
Shirol.
(2) Rabi crops 10,000 acres upto Kolhapur.
(3) Power to lift water for irrigation from
Radhanagari to Shirol and also to minor industries and lighting in
Kolhapur, Ichalkaranji, Jaisingpur, etc.
The power generated is 4,800 K.W. in 1956.
(4) Sufficient water supply to a part of the
Kolhapur city to be fed through the water works situated on the bank
of the Bhogavati river.
NEW INDUSTRIES.
Development of Sugar Industry.
The sugar industry is likely to expand and acquire
an important place in the economy of the district. Since irrigation
facilities have become available the acreage under sugarcane has
continuously been increasing. The total number of acres under
sugarcane in this district has shot up to 48,000 in 1955-56 from
32,000 in 1945-46. The nature of the soil and climatic conditions
are quite suitable to sugarcane cultivation and so the present
percentage of recovery (13.5) of sugar from sugarcane grown in the
district though high enough, can still be raised by appropriate
measures.
An attempt to run sugar factories on co-operative
basis has caught the imagination of well-to-do cultivators in
Maharashtra. In Kolhapur district, four such factories are under
construction. If this attempt succeeds, it will lead to the
expansion of the sugar industry. Co-operative management has many
advantages. As the cultivators are also the owners of sugar
factories there can be an assured supply of raw material. The
difficulty of providing capital is minimised to the extent that the
resources of many are pooled together.
At present most of the sugarcane grown in this
district is utilised for the production of gur. But to the extent to
which the sugar industry develops, production of gur might be
curtailed unless sugarcane produce should be found to be in excess
of what the sugar factories could crush.
Manufacture of organic
solvents from molasses.
Manufacture of organic solvents from sugarcane
molasses will be a new subsidiary industry. Molasses, a waste
material in a sugar factory, can be converted into alcohol and
organic solvents which are important industrial raw materials. Such
organic solvents are: Ethnol, Butanol, Aceton, and other higher
alcohols.
On account of the continuously increasing demand for
plastics, alcohol manufactured from molasses is likely to be
converted, at a later stage of production, into various plastics
viz., Polyethylene, Polystrene, Polyvinyl, Chloride, Polyvinyl
Acetate; into solvents such as Acetone Acetic acid and into
Synthetic Rubber.
Manufacture of Citric
Acid.
Sugarcane molasses are the main raw material for the
production of citric acid, used mainly in the production of
pharmaceutical grade citrates, as well as in soft drinks and food
along with tartaric acid. Though correct figures regarding the
existing demand are not available it is estimated that about 1,000
to 1,500 tons of acid can easily be consumed in the production of
various products referred to above. As the size of a plant is
adjustable to the available supply of molasses, subject to the
minimum of five tons per day, citric acid is likely to be produced
in the district. All these possibilities were absent in the past
because manufacture of alcohol was prohibited.
Oil industry.
The total area under oil seeds is about 1,14,000
acres. The average yield per acre is about 1,000 to 1,200 lbs. Of
the total production of 50,000 tons of oil seeds, only 12,500 tons
are crushed in oil mills and an equal quantity in the country
crushers called ghanies; the remaining 25,000 tons are
exported. It is quite possible that as the sugar industry develops,
it may create conditions favourable to the expansion of the oil
industry. The district is dependent on others for the supply of
oil-cakes. This dependence will progressively increase as more and
more acreage passes under sugarcane, to which oil-cake is an
excellent manure. Thus the waste material of the oil industry has a
ready and expanding market within the district.
Manufacture of Aluminium.
Manufacture of aluminium, which is an important non-
ferrous metal required by various industries may be started, in the
near future, in this district. Extensive bauxite deposits are known
to be lying in the bowels of the earth in Kolhapur and Belgaum
districts. There is an enormous demand in the country for aluminium
in all forms. The Planning Commission has estimated the current
annual demand for aluminium, in all forms, at about 20,000 tons as
against the present production capacity of 7,500 tons. The necessary
electric power for treating bauxite and other metallurgical
operations, will be supplied in a couple of years by the Koyna Hydel
Project, in addition to that supplied by the Radhanagari Project.
The cost of generating electricity per unit is low in a Hydel
Project and this will be an advantage to the factories located in
the district over those located elsewhere. Petrolium coke used in
manufacturing aluminium can be secured from the oil refineries at
Bombay.
Development of Small-scale Industries.
Government is keen on developing small-scale
industries and in Pursuance of this policy, Kolhapur city is one of
the nine centres selected by the State Bank of India for its "Pilot
Project for the co-ordinated provision of credit to small-scale
industries". In addition to this, facilities for training are also
provided. People of the district have an aptitude for engineering.
The demand for oil engines and pumping sets is likely to go up on
account of increased irrigation facilities. This will open new
opportunities for more engineering workshops repairing oil engines
and also for the production of pumping sets and oil-engines, for
which there exists no threat of external competition on account of
the import policy pursued by the Government of India. Again as more
and more electricity will be used in days to come, there is enough
scope to manufacture small electric motors, other instruments and
various spare parts.
To sum up, the district of Kolhapur, fortunate
enough to get increased irrigation facilities and supply of electric
energy, has a hopeful outlook. Its economic prospects tend to be
bright in view of the expected developments in agriculture, industry
and finance.
DISTRICT UNDER THE
PLANS.
INTRODUCTORY.
Introductory.-This section presents in brief
an account of the development programme in the district under the
Five Year Plans. The bulk of the schemes included in the State plans
are of a general nature and benefit all the districts of the State
far and near. Certain schemes, however, belong so predominantly to
the district that the benefits accruing from them necessarily
pertain to the economy of the district. All such schemes are
outlined below:-
Situation.-With a fairly compact area of
2,794.4 [Land Records.] sq. miles, this district is bounded by
Ratnagiri district on the west, the Varana river (N. Satara) on the
north, the South Satara and Belgaum districts on the east and
Belgaum and Ratnagiri on the south. Traverse of Sahyadris in the
west region, raises the height of this part at places up to 3,000'
above sea level. The height of eastern part which is rather flat
varies between 1,900 and 2,000 feet above sea level. The population
of the district (1951) is 12,27,547, of which 2,27,457 is urban. The
principal industries of the district are sugar, tanning, film,
hand-loom and oil extracting.
AGRICULTURE AND ALLIED PROBLEMS.
Agricultural and Allied
Problems.-The development schemes under the Five Year-Plans
include schemes of compost making, seed improvement, vegetable
development, mechanical cultivation, lift irrigation works, etc.
(a) Compost making.-In
pursuance of Grow More Food campaign and to supplement the
production of bulky manures in Bombay State, scheme for preparation
of compost manure from organic wastes was undertaken. In the Second
Plan the same programme is to be continued in additional fields.
(b) Seed Improvement.-For the
improvement of the yield of crops, schemes for multiplication and
distribution of improved strains of important food crops through the
registered seed cultivators was undertaken in the district in
1951-52. The cultivators sell their produce to the Agricultural
Department at a premium. During the Second Plan period special
agricultural land is kept reserve (to be utilised) for meeting the
requirements of seed in all the talukas of the district.
(c) Agricultural School.-The
scheme aims at imparting agricultural education, which other than
research training, includes subjects like animal husbandry,
dairying, horticulture, co-operation and other complementary
agricultural occupation.
(d) Boring Scheme.-In order to
augment the supply of water by drilling bores in the wells, this
scheme was undertaken by and carried through the District Local
Board. In the First Plan period nearly ten wells were sunk every
year. Repairs to the old wells also is being carried out on a wide
scale.
(e) Land Improvement
Scheme.-In order to realise a balanced development of
agriculture three fold improvement schemes viz., to minimise the
denudation of land, to mechanise the methods of operation and to
turn a fallow land into a cultivable land, is undertaken. In
Kolhapur district during First Plan period construction of Bundharas
and digging trenches to restrict denudation, was carried in 74,675
acres of land. A unit consisting of six tractors and a bulldozer has
been attached to the district. Survey of more than 2/3rd of the
fallow land was completed under the First Plan period, and that of
the rest will be completed during the Second Plan.
(f) Co-operative Lift
Irrigation.-Establishment of five lift irrigation and four
dam construction societies in 1954 has facilitated the construction
work of a jack-well and inlet pipe-line. Works under Minor
Irrigation scheme is carried on in this district on a considerable
scale.
POWER PROJECTS.
Power Projects.-Two schemes viz.,
Radhanagari Hydro-Electric Project and Emergency Irrigation and City
Concession Scheme completed at the end of the first Plan, provide an
assured water supply for irrigation of sugarcane and rubby crops,
and generate power which is utilised in lifting water for irrigation
and running minor industries. A construction of a dam on Varna river
for water supply has been concieved in the Second Plan. This will
irrigate 7,500 acres of land.
INDUSTRIES AND MINING.
Industries and Mining.-In order
to foster the development of Small-scale and Cottage Industries,
Government has organised institutions, like Industrial Co-operatives
and Bombay Industrial Board which furnish rural artisan with the
technical education, advice and guidance on different aspects on the
one hand and give finance for the installation of a small modern
machine and improved equipment on the other. At the end of the First
Plan 97 Industrial Co-operative Societies were formed, prominent
among them being hand-loom, bee-keeping oil extraction and tanning.
179 new co-operative societies will be started during the Second
Plan and a grant-in-aid to the tune of Rs. 6.59 lakhs will be given
to them. Besides Rs. 650 lakhs will be distributed under the rules
of State aid to Industries. Bombay Industries Board proposes to
start the following Industries during Second Plan:-
(1) Power-loom.
(2) Tanning.
(3) Umbrella Making.
TRANSPORT AND COMMUNICATIONS.
Transport and
Communications.-The need for good roads in Kolhapur district
is of utmost importance due to three reasons, viz., (a) Roads
emanating from Kolhapur connect Konkan with ghats, (b) There is no
railway in Konkan region and (c) During rainy-season coastal traffic
practically disappears and when Bangalore-Poona road is the only
means of communication between these two regions. The development
programmes completed under the First Plan are:-
(i) Modernisation of (Bangalore-Poona Road),
National Highways by black-topping the road surface with premia
chips.
(ii) Improvement of the State Highways.
(iii) Construction of Bridges on five rivers was
undertaken in the First Plan and will be completed in the Second
Plan. New Roads of a length of 130 miles are to be constructed in
the Second Plan.
(iv) Construction of approach roads in order to join
small villages to the main roads, is also to be undertaken.
RURAL DEVELOPMENT.
Rural Development.-A co-ordinated
scheme of rural development contemplates; better housing, labour and
social welfare, local development schemes and development of local
bodies like Village Panchayats. This programme has been divided
under different heads and separate institutions have been created to
look after them. District Development Boards holds a large fund to
be distributed for the uplift of agriculture, public health and
sanitation, education, cottage industries, etc.
Health.
Health.-Schemes are also devised to provide
people with increased facilities for medical aid, prevention of
communicable diseases, and measures are adopted to improve sanitary
and hygenic condition, water supply. Facilities in training of
medical personnel are also provided for.
Sugarcane cultivation.
Sugarcane cultivation.-An ample supply
of canal water provides a good scope for the cultivation of
sugarcane in this district. In Second Plan period, one more factory
will be added to two co-operative sugar factories established during
1951-55.
Fishery.
Fishery.-With a view to provide people and
Gram- panchayats with an additional source of income and to augment
the supply of fish in the Kolhapur district, scheme has been
undertaken since 1951. The fry of local type called "Tambeer"
were caught and fattened scientifically in twelve tanks which
resulted in 1,95,670 lbs. of additional fish in the First Plan.
Remoteness from the sea, however restricts the growth of this
business beyond certain limits. The Second Plan contemplates:-
(a) Fattening of fry of select varieties of
fish in fresh water tanks.
(b) Stimulate the growth of rapidly growing
varieties of carp-fry.
(c) Provision of preservation of fish during
the period extending their catch to marketing.
RURAL DEVELOPMENT.
Co-operation, Warehousing and
Marketing.-Co-operative schemes under the Plans relate mostly
to the rural development which include co-operative creameries and
milk supply unions, Backward class housing societies, co-operative
farming societies etc Under the Second Plan number of co-operative
societies will be established to help farming, fishery, sugarcane
producing, etc. on co-operative basis.
Warehousing.
Warehousing.-This scheme under the Second
Plan will enable farmers to store their produce, and sell it only
when it is profitable to do so. Regulated markets and co-operative
marketing societies will also help removing the mal-practices and
underhand dealings.
Community Development.
Community Development.-A Community
Development project was undertaken in 1952 in three blocks, viz.,
Shirol, Bhudargad and Karvir-Panhala. Other schemes such as N. E.
S., Sarvodaya scheme and Grampanchayat Vikas Scheme are meant to
foster both cultural and material development of villages.
Welfare of Backward Class.
Welfare of Backward
Class.-The programme for the socio- economic development of
the backward class community includes, formation of co-operative
housing societies, allotment of fallow lands for cultivation and
extension of such facilities as require in the process of
agriculture, etc.
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