Front Matter Reviewed work(s): Source: Economic and Political Weekly, Vol. 3, No. 4 (Jan. 27, 1968), pp.

213-226 Published by: Economic and Political Weekly Stable URL: http://www.jstor.org/stable/4358164 . Accessed: 25/01/2013 17:53
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ECONO MIC
AND

Escalating

the

Terms

POLITICAL

WEEKLY
Vol III No 4 January 27, 1968 in Back to Bipolarity ?-Bosses Hands in Full Control-Old NonNew Board -One-way for Proliferation -Medicare Sugar Mills Business Capital View From Our Correspondents Assam: Sharpening of Carving Knives Hong Kong: From Stalemate to Cessation Madras: Irrplevance Abounding The Fourth Estate Review Asian Janus -R Srinivasan Special Articles Interaction of Private and Public Sectors: Case of Petroleum and Coal -Aurobindo Ghose Recession, Inflation and Economic Policy: A Comment -S S Madalgi Industry Mining Agriculture Universities Markets Statistics 225 219 219 221 223 214 216 218

HOPES of an early peace in Vietnam, which were raised by Hanoi's offer to negotiate if US stopped bombing the North, have been dashed by President Johnson's State of the Union message. Not only does he want Hanoi to guarantee that talks will take place promptly, he has also reserved to himself the right to judge in advance whether such talks would be productive. This indicates a hardening of the American posture; North Vietnam is now called upon to talk as also to indicate the broad outlines of a peace settlement. It is clear that the United States is planning for a long and costly war. Otherwise President Johnson would not have allotted a total of 25 billion dollars to conduct this senseless war next year. It is also significant that the Australian Prime Minister has bluntly stated that he sees no hope of peace in Vietnam at an early date.

It would be wrong to attribute the American rigidity entirely to the fact that this is an election year. True, President Johnson cannot afford to have so many domestic critics of his Vietnam policy on the eve of the elections and it is easier for him to satisfy the hawks thani the doves. But he must have also been told by his advisers that bombing is having its effect on North Vietnamese morale: they may even have advanced Hanoi's offer to negotiate as proof of this. A number of American policy-makers, including President Johnson, have developed such stakes in the correctness of their policies that the only course left to themnin the face of criticism is to reassure each other. If this were not so, they would have seen long ago that North Vietnam is unlikely to tire of a war that it considers vital for nationial independence. It is also clear to all, except the experts around the Potomac, that international opinion is crystallising against the United States. Evein George Brown and Willy Brandt have been urging a favourable American response to Hanoi's offer. For the developing countries the war in Vietnam is a colossal waste of international resources which could have been diverted to sustaining development around the world. One of the main objects of US Vioe-President Hubert Humphrey's recent visit to Africa, for example, was to discourage hopes of American assistance. War is also a source of anxiety for the rest of the world. Whatever may be the degree of perfection of the art of conducting a limited war, the threat of escalation hangs on humanity. Even if this risk were not there, the sight of a small, primitively armed nation being battered by thle world's mightiest power is a shocking experience for men of all races and nations. It demolishes their faith in international co-operation and co-existence and helps to swell the ranks of the cynics. It is necessary for other nations to intensify their efforts to arrange a cease-fire in Vietnam. The two neutral states of the area Cambodia, and Laos - are likely to be involved in this escalating war shortly, which will makfe a bad enough situation worse. 'There are a few thin silver linings on the horizon\ though. The British Prime Minister's visit to Moscow has probably led to important discussions between the two Chairmen of the Geneva Conference. Any accord on Vietnam must ultimately use the 1954 Agreement as its basic frame of referencd and Laos and Cambodia will have to be reassured of their sovereignty and independence within the framework of that Agreement. Indian efforts at this stage may not make any immediate difference to the situation. Nevertheless many in India have a queer angle of national self-interest which inhibits our efforts for peace. On deeper reflection they will discover that it is -in our national interest to try to cud a war which erodes, with every day that passes, those values in the promotion of which we seek our prosperity and security.

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WEEKLY ECONOMIC POLITICAL AND

3 Harbour View, 29 Causeway, Bombay I Phone 214613 Editor R K HAZARI Associate Editor: Krishna Raj Assistant Editor: Rajani X Desai Business Manager: A Fernandes Circulation Manager: Shiv Patil

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January 27, 1968

ECONOMIC

AND

POLITICAL WEEKLY

GOVERNMENT INDIA OF OF MINISTRY COMMERCE

X X

X
Inadditionfacilities to in providedan INDUSTRIAL ESTATE to are many advantagesavailable EXPORT INDUSTRIES IN x

V.
* * *

KANDLA TRADE FREE ZONE

Exemption from the import duty on machinery, component parts and raw materials; Exemption from Central Excise Duty on finished products and commodities utilised for production of goods for export; Grant of cash assistance on the exports from the Kandla Free Trade Zone and treating the exporters in the Zone on the same basis as Registered Exporters in the rest of India for the purpose of grant of import licences under the Import Policy; Grant of advance import licences for import of raw materials and intermediates,components and spares on merits; Concessionalrent of 50 paise per sq. metre per year on fully developed plots allotted on 30 years lease; Ready-built sheds for small entrepreneurs yearly rent; on Assured supply of electric power at reasonable rates, simplified official procedures,good banking facilities etc; Exports have already started and constructionof factories is going on.

x
x

* *

x
x

X
x

Xx x

* *

Forfurtherparticularscontact:
Xx The Administrator, Kandla FreeTrade Zone, P. O. Kandla Free Trade Zone, Gandhidham~~~~~~(Gujarat).
SXXXXXXXXXXXXXXX ^XXXXX EXXX XXXXXXXXXXXXXXX

.
z

x
X

67/244 X ~~~~~~~~~~~~~~~~~~

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January 27, 1968

ECONOMIC AND POLITICAL WEEKLY

The

Boatman

of

Padma
Our country today is in a similar situation. After 20 years -of hard and earnest efforts to improve the standard of living of our people, we have not gone far from where we started, though, of course, in certain areas we have moved a long way. Take food production, for instance. It has gone up by 17 million tons during the 14 years from 1951 to 1965 but the amount of food available for each person decreasedby 0 4 oz. What about employment opportunities? Educationalfacilities ? In these and several other developmentareas, our efforts have been nullified by the rapid rate of the growth of population. We add to our population more than 13 million people every year. Isn't it a formidable problem for any country to tackle ? YOU CAN solve this problemby limiting yowifamily. Please visit the Family PlanningCentre in your vicinity. There you get free services. Red 7 Remember: Triangle is the Symbol of Family Planning.

River Padma lay wrappedin Oarin hand, the boatdarkness. man looked around. Nothing not was visible, eventhesprawling trees nearby. It wasa long way he to that villagewhere hopedto sell his goods at the fair the next morning. So he untiedhis boat,andpushedoff. He rowed and rowed-howlong he did not know. So engrossedwas he in planning his transactions and counting his profits that he did not evenfeel the weariness of rowing. At last the dawnpeered through the distanttrees. "Now the fair must be in sight," he thought. ! Andlookedaround. What The his sameplace! He rubbed eyes and lookedagain. The boathad far not gonae from the place he started. And then he found out what had happened. He had been rowing against strong whichalmostneutralised currents his speed.

\7

Have fewer children Whenyou have two, that will do

v.1

in67,190

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