The war gave added strength to the labour movement and facilitated the further growth of Trade Unionism. In 1940 the National Trades Union Federation, into which the Indian Trades Union Federation had merged, was amalgamated with the All-India Trade Union Congress. But there was again a cleavage in the ranks of labour in India in 1941, when a new central organisation, called the Indian Federation of Labour, came into being. The year 1947 saw the birth of yet another organisation, under the name of the Indian National Trade Union Congress. Drawing its inspiration from Gandhian philosophy, it sought to “secure redress of grievances without stoppages of work by means of negotiation and conciliation, and failing that, by arbitration or vindication”. This organisation, representing 577 unions of 19 industrial groups, very soon became “a force in national life”. Their numbers are increased subsequently.
The Hard Lot of Common People
The common people of India, whose condition had always been deplorable, suffered great hardships during and after the war. There was a rapid rise in the prices of all goods –‘thanks to ceaseless inflation following upon the endless stream of British purchases in India against sterling securities in the Paper Currency Reserve”. There was a drastic reduction in the supply of essential commodities, particularly foodgrains and cloth, to the civilian population. ” Before the war the total available supply of cereals was more than 45 million tons. During the first half of the war period it was reduced to 48 million tons …. Again as against the 6,000 million yards of cloth in supply before the war, only 3,700 million yards were available in 1942; and even two years later, the supplies barely exceeded 5,000 million yards.”
The Report of the Sub-Committee on Labour of the National Planning Committee significantly remarks: “Notwithstanding all measures of control, regulation of price, Government procurement and distribution of essential supplies, like food, kerosene, sugar, and the entire rationing system applied to town after town and Province after Province, prices continued to soar, black markets flourished, corruption knew no bounds of rank or sex.” The horrible Bengal famine of 1943, producing untold miseries for the people of that province, was undoubtedly a direct result of war conditions, but was accentuated by the “carelessness and complete lack of foresight of those in authority”, and the inordinate greed of persons in certain positions. As the Famine Inquiry Commission presided over by Sir John Woodhead stated in its Report published in May, 1945: “It has been for us a sad task to enquire into the course and causes of the Bengal famine. We have been haunted by a deep sense of tragedy. A million and a half of the poor of Bengal fell victim to circumstances for which they themselves were not responsible. Society, together with its organs, failed to protect its weaker members. Indeed, there was a moral and social breakdown, as well as an administrative breakdown.” The wounds inflicted on Bengal by this terrible calamity were very slow to heal.
With all that has been done by the State, the Food Corporation of India and other agencies to improve the condition of the common man, it still continues to be hard. For the last three years people have been faced with very acute problem due to the abnormal rise in prices of articles of prime necessity including foodstuffs and clothing.
Agriculture
Indian agriculturists and ordinary consumers were the worst sufferers by the failure of economic controls, profiteering, and widely prevailing corruption though bigger farmers with more surplus to sell derived advantage from high prices. So far as agricultural economy is conceded, numerous problems were brought to the forefront by the Second World War–the planning or production and distribution, the provision of an adequate transport system connecting the widely separated surplus and deficit area, maintenance of minimum stocks, effective control over costs of production and prices, and regulation of exports and imports. The Central and Provincial Governments promised to bring about an improvement in the state of agriculture and in the lot of the common people by proper agricultural planning, which would facilitate the attainment of high levels of production and prosperity.
During the recent years various programmes have been adopted for the development of agriculture. A new system of agricultural development has been introduced since 1966-1967. Arrangements have been made for the production and distribution of improved seeds, agriculturists have been gradually made familiar with scientific and technological methods, and availability of inputs has improved. Supply of credit for agricultural requirements is being stepped up through banks, particularly agricultural banks. Minor irrigation works have been launched to help the agriculturists during periods of drought. Agro-industries corporations have been set up in different States to enable persons engaged in agricultural and allied occupations to modernise their works and for supply of agricultural machinery and implements. At present twenty-three research institutes under the Indian Council of Agricultural Research are carrying on agricultural research.
To accelerate the march of socialism and rural development on an extensive scale banks have been nationalised; 19th July, 1969 was a very significant day in the history of Indian banking. By an Ordinance the President of India nationalised fourteen major Indian private commercial banks. The banking Companies (Acquisition and Transfer of Undertaking) Bill was introduced on 25th July, 1969 and passed by both Houses of Parliament on 8th August, the Bill became law on 9th August, when the President gave his assent to it. In a statement on 21st July, 1969 in Parliament, the Prime Minister thus explained the significance of the momentous decision of bank nationalisation, “The banks will now be better placed to serve the farmer and to promote agricultural production and rural development generally. Public ownership will also help curb the use of bank credit for speculative and other unproductive purpose. By severing the link between the major banks and the bigger industrial groups which have so far controlled them, Government believes that the step they have taken will also bring about the right atmosphere for the development of adequate professional management in the banking field.”