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This article summarizes a survey of the Jaipur Industrial Estate in Rajasthan, India. It finds that while the conditions at the estate seem favorable for success, with amenities like water, power, and proximity to markets, the actual performance of industries located there has been disappointing. Employment provided declined from 1961-1962. The main reason for low performance is under-utilization of capacity, with on average plants only operating at 25% of capacity. This is largely due to scarcity of raw materials. Additionally, many of the entrepreneurs sponsored by the government to set up shop have lacked ability and some have profited by black market activities rather than operating factories successfully.
Originalbeschreibung:
Industrial growth in India
Originaltitel
Governmentsponsored Industrial Growththe Jaipur Industrial Estate a Case Study
This article summarizes a survey of the Jaipur Industrial Estate in Rajasthan, India. It finds that while the conditions at the estate seem favorable for success, with amenities like water, power, and proximity to markets, the actual performance of industries located there has been disappointing. Employment provided declined from 1961-1962. The main reason for low performance is under-utilization of capacity, with on average plants only operating at 25% of capacity. This is largely due to scarcity of raw materials. Additionally, many of the entrepreneurs sponsored by the government to set up shop have lacked ability and some have profited by black market activities rather than operating factories successfully.
This article summarizes a survey of the Jaipur Industrial Estate in Rajasthan, India. It finds that while the conditions at the estate seem favorable for success, with amenities like water, power, and proximity to markets, the actual performance of industries located there has been disappointing. Employment provided declined from 1961-1962. The main reason for low performance is under-utilization of capacity, with on average plants only operating at 25% of capacity. This is largely due to scarcity of raw materials. Additionally, many of the entrepreneurs sponsored by the government to set up shop have lacked ability and some have profited by black market activities rather than operating factories successfully.
Government-Sponsored Industrial Growth The Jaipur Industrial Estate: A Case Study S P Kashyap Much has been claimed for industrial estates as a device for promoting dispersed industrial development. Much of this claim, at the same time, has been discounted by critics of the Government. This article presents the results of a survey of the Industrial Estate set up by the Rajasthan Government at Jaipur. This estate has many advantages. Situated in the capital of the State, entrepreneurs can directly approach the Directorates of Industries and Supplies and other Departments of the State Government. Water, power, transport and other essential facilities are adequate. Finally, Jaipur provides a substantial market and Delhi is not far away. The conditions are thus highly favourable for the success of the Jaipur Estate. But in fact the working of the Estate shows that very little advantage has been taken of these favourable circumstances. Employment provided by the Estate is disappointingly small and actually declined between 1961 and 1962. The main reason for this is under-utilisation of capacity. On average the units which are in production operate at about 25 per cent of their capacity. The percentage of utilisation of capacity is even lower if account is taken of the units which, though complete, are not in production at all. The low utilisation of capacity is traceable mainly to scarcity of raw materials. It appears that the Govern- ment has permitted the establishment of units using scarce raw materials without considering whether their de- mand for these materials can be met. But shortage of raw materials is not the whole story. In the Jaipur Industrial Estate the Government has tried to sponsor "new" entrepreneurs. While this is no doubt a laudable objective, the Government's efforts have been far from successful. In spite of technical and financial assistance and allotment of factory space at low rent, the working of a large number of units is unsatisfactory even after three years of their starting. In some cases, the chosen "entrepre- neurs" have quit the Estate after making easy money by blackmarketing plant and equipment and essential mate- rials. It is evident that after providing incentives and creating facilities at considerable cost, the Government took little care to assess the ability of entrepreneurs to take advantage of these incentives and facilities. THI S arti cl e presents the mai n f i nd- ings of an economic survey of the I ndust ri al Estate at Jaipur, under- taken towards the end of 1962 and compl eted by Mar ch 1963. It may be confessed at the outset t hat the hi gh hopes wi t h whi ch the survey was be- gun coul d not be sustained t i l l the end; the co-operation received f r om the respondents i e the entrepreneurs coul d hardl y be described as satis- f act ory; nor was the pi cture of per- formance t hat emerged f r om the study such as to encourage belief in the efficacy of the device of i ndus- t r i al estates. However, there were many who acti vel y co-operated and gave the author valuable i nf ormat i on, and, on the whol e i t has been wor t h- whi l e to gauge the success of govern- mental efforts in an area where so much i s cl ai med on the one hand and so much of t hat cl ai m i s di scounted on the other. What i s presented be- l ow is a pi cture of the Estate as at the begi nni ng of 1963. The f oundat i on stone of the Indus- t r i al Estate was l ai d on August 10, 1957. The Estate was i naugurated on August 30, 1959 after the compl eti on of 24 sheds. The Estate was to be completed in three stages of 24, 24 and 16 sheds. The last stage was com- pleted by the mi ddl e of 1961. Since then al l the sheds have been al l otted ei ther on rental or on hire-purchase basis. In the former case the rent was to be subsidized for an i ni t i al peri od of three years (according to a sl i di ng scale). The t ot al expenditure i ncurred by the Government on the Estate t i l l June 1962 was Rs 19.70 l akhs. Thi s expenditure i ncl uded items such as 64 sheds and 12 godowns, constructi on of bank bui l di ng and admi ni strati ve office and constructi on of water rank and wel l , etc. Subsidised Facilities The Estate provides, besides the f aci l i t y of accommodati on at a subsi- di zed rent, various other f orms of assistance such as adequate water, power and banki ng faci l i ti es. The Estate also provides the services of a raw materi al depot, a common faci - l i ti es centre (workshop) and a t ool r oom r un by the Small Scale Services I nst i t ut e of Government of Indi a* The mai n products manufactured by the di fferent uni ts i n the Estate are bi cycl e parts, condui t pipes, precision machi ne tool s, flexible tubes, barbed wi res, bui l ders' hardware, bi f urcat ed ri vets, shoe tacks, machine screws, flexible tubes, steel f ur ni t ur e, agri cul - t ural i mpl ements, pressure stoves, hinges, ti n-contai ners and wi re nails. Most of the uni ts are qui te modern bot h i n regard to the ki nds of pro- ducts manufactured and the t echni - ques of product i on used. At t empt s were made to collect i n- f ormat i on f r om al l the i ndust ri al un- dertaki ngs, but i nf ormat i on (part i al or complete) coul d be actual l y collected onl y f r om 30 uni ts occupyi ng 39 sheds. As regards the remai ni ng 25 sheds, it was f ound t hat no product i on was being carri ed on i n 18 of them due to vari ous reasons, and no i nf ormat i on at al l coul d be obtai ned f r om the rest of the seven sheds, pri mari l y because of the absence of the entrepreneurs! One of the aims of the i ndust ri al estates programme is to develop lat- ent enterprise. Therefore, i n the Jai- pur I ndust ri al Estate much emphasis was placed on new entrepreneurs. Of course, many of those who started manuf act uri ng i n the Estate had been in other ki nds of business; onl y 10 entrepreneurs had entered the manu- f act uri ng l i ne wi t hout any business experience at al l . However, most of 1021 THE ECONOMIC WEEKLY June 13, 1964 t he entrepreneurs had been i n busi - ness f or a rel ati vel y short peri od. I n- f ormat i on regardi ng the business ex- perience of the entrepreneurs is given i n Table 1. It wi l l be observed t hat one-t hi rd of the entrepreneurs covered had expe- rience upto five years onl y and more than 50 per cent of t hem had expe- rience of less t han 11 years. They may be said to consti tute the ' new tal ent' whi ch fl owed i nt o the I ndust ri al Es- tate. In the Estate, generally speaking, there has been no rehabi l i t at i on of ol d uni ts. Most of the uni ts have been newl y promoted. Onl y 4 out of 30 uni ts, were existing earlier outside the Estate. 1 One uni t was previously r unn- i ng at Cal cutta; another shi fted f r om the Okhl a I ndust ri al Estate and t wo others were existing in Jaipur. The fact t hat t wo uni ts shi fted t o the I n- dust ri al Estate f r om outside shows t hat they f ound some advantages in doi ng so. Absentee Capitalism The entrepreneurs di d not give one the impression of being the dynami c personalities whi ch one meets wi t h i n economic theory. Instead of grabbing whatever opportuni ti es were given to t hem, they were i ncl i ned to be highly cri t i cal of Government policies. Most of t hem expected to be spoon-fed. Entrepreneurs moved by new ideas and promot i ng "new combi nati ons" were conspicuous by thei r absence. There were some whose vi si ts to thei r fac- tories were few and far between. There was one factory whose head and own- er was never seen in his factory. Hi s manager, who was i gnorant about the true condi t i on of the factory, gave the i nf ormat i on t hat the owner was doi ng some al l i ed business in some other ci t y and graced the uni t onl y rarel y. It woul d seem t hat the I ndust ri al Es- tate has encouraged a f or m of ' ab- sentee capi tal i sm' . Out of the 30 uni ts surveyed, onl y 26 provi ded i nf ormat i on regarding t hei r capi tal i nvestment. Tot al invest- ment (value of fixed assets and the worki ng capital employed) 2 amounted to be Rs 54.45 l akhs, of whi ch work- i ng capital consti tuted Rs 27.46 l akhs (sl i ghtl y more than 50 per cent of the t ot al i nvestment). I n the Okhl a I n- dust ri al Estate wor ki ng capi tal consti - t ut ed 70 per cent of the total invest- ment Thus i n the Jaipur I ndust ri al Estate the proport i on of fixed invest- ment to the t ot al was comparati vel y hi gh. Thi s i ndi cated t hat full use of fixed capi tal was not being made. On the basis of this i nf ormat i on, the ave- rage investment per uni t amounted to Rs 2.6 l akhs, the corresponding figure f or the Okhl a Estate was Rs 3.79 l akhs. 3 A maj or proport i on of the uni ts i n- vested in fixed assets between Rs 10,000 and Rs 100,000. Table 2 shows the di st ri but i on of the reporti ng uni ts accordi ng to the size of fixed capital i nvestment. About 77 per cent of the uni ts had fixed investment wi t hi n a range of Rs 10,000 to Rs 1,00,000. Sources of Finance Inspi te of the fact t hat there are now various i nst i t ut i onal sources of finance f or small industries, e g. State Industri es Department, State Financial Corporat i on, Nat i onal Small Industri es Corporat i on, commerci al banks 4 , i t was f ound t hat in the Jaipur Estate the bul k of the i nvestment was made f r om other sources. Thi s wi l l be seen f r om Table 3, whi ch shows sources of capi tal (both fi xed and worki ng) of the 24 reporti ng uni ts in order of thei r i mportance. It wi l l be clear f r om the table that out of t ot al investment, about 68 per cent was financed by pri vate savings and borrowi ngs f rom friends and rela- tives. Borrowi ngs f r om i nst i t ut i onal sources consti tuted 32 per cent of the t ot al investment, out of whi ch the State Bank of Indi a provided 10.1 per cent f ol l owed by the Rajasthan State Fi nanci al Corporati on (8.5 per cent). The share of the State Industri es De- partment was the lowest, i e, 3.6 per cent of the t ot al i nvestment. In the Okhl a Estate borrowi ngs f r om non- i nst i t ut i onal sources consti tuted about 65 per cent of the t ot al i nvestment and t hat f r om i nst i t ut i onal sources to about 35 per cent; the highest con- t ri but or was the State Bank of I ndi a (16.6 per cent) and the l owest the State Industri es Department. Thi s com- parison bri ngs out the si mi l ari t y i n the sources of finance. Table 4 gives the di st ri but i on of the contri buti ons f r om the various i nst i - t ut i onal sources among di fferent uni ts. It wi l l be seen that the State Bank of I ndi a had given loans to about 42 per cent of the uni ts though i ts share in the total capital of al l uni ts was onl y 10.1 per cent. The State Industri es Department catered to the needs of 37.5 per cent of the uni ts though it financed onl y 3.6 per cent of the t ot al i nvestment. Thus, it appears, the State Industri es Department gave onl y smal l loans but spread them over a large number of uni ts. On the other hand, the Rajasthan State Fi nanci al Corpo- rat i on had provi ded loans to onl y 12.5 per cent of the uni ts, but it fin- anced 8.5 per cent of the t ot al invest- ment. It may be i nferred that its medi um-terms loans were given to 1023 THE ECONOMIC WEEKLY June 13, 1964 comparatively bi g units. The Nat i onal Small Industries Corporation gave loans to 16.7 per cent of the units and financed 5.4 per cent of the t ot al i n- vestment through the sale of machi- nery on hire-purchase basis. The com- mercial banks also played a not un- i mport ant role in meeting the needs of the units of the Indust ri al Estate, as they gave loans to about 21 per cent of the units and financed 4.3 per cent of the t ot al productive capital. Wastage of Capacity One of the principal motives for bui l di ng i ndust ri al estates is to pro- vide employment. The survey, how- ever, reveals that the total employ- ment in the 29 units amounted to 446 onl y. Further a declining t rend was witnessed duri ng 1962 as compared to 1961. The magnitude of this decline can be seen in Table 5. The proport i on of ski l l ed labour to t ot al employment was quite hi gh. The ratio of skilled to unskilled labour came out to be 1:0.91, (This rat i o for the Okhla Indust ri al Estate was 1:0.93, showing not much of a variation). This also i mpl i ed that the units in the Es- tate were highly mechanised. The hi ghl y mechanised nature of the units proved to be a disadvantage in disguise. Twent y-t wo units out of twenty-nine had difficulty in getting the required skills. There was great shortage of skilled labour such as, die fitters, turners, foremen and mecha- nics, etc. Most of the skilled labour was coming f r om outside Rajasthan. Out of 215 skilled workers employed by the 29 units, about 141 came from outside Rajasthan (about 65 per cent). Most of the entrepreneurs stated that imported labour proved to be costly and their stay was also not reliable. This hampered production, firstly, by increasing the cost of production and secondly by stopping it sometimes. It was possible to collect the pre- cise i nformat i on about ut i l i zat i on of capacity only from 18 out of the 30 units surveyed. The approximate i n- stalled capacity of these 18 units came to about Rs 193.7 lakhs (i n value terms), average being Rs 10.76 lakhs whereas the value of their production amounted to Rs 55 lakhs per year, the average being Rs 3.05 lakhs. Thus the average ut i l i zat i on of installed ca- pacity was 28,33 per cent. Table 6 gives figures of ut i l i zat i on of capacity. I t wi l l be seen t hat about 50 per cent of the units were ut i l i si ng less than 30 per cent of their installed capacity, Under-ut i l i zat i on of capacity can be traced to various factors. Undoubtedly, one of the most i mport ant of these was the shortage of the raw materials. Most of the entrepreneurs found themselves handicapped by the i nordi - nate procedural delay in getting raw material quotas and licences. Raw materials l i ke copper were bought ge- nerally from the open market, whi ch inflated the cost and hence the price. The shortages were most acute in i ron and steel The problem was ag- gravated by the establishment of new units using these raw materials, even though the quota received by the THE ECONOMIC WEEKLY June 13, 1964 State as a whole remained unchanged. Thi s resul ted i n proporti onatel y re- duced al l otments f or al l uni ts. Not onl y were the raw materials made available insufficient for f ul l uti l i sati on of capacity, but the combi nati on i n whi ch they were provi ded made mat- ters even worse. Under-ut i l i zat i on of capacity was also the result of filling the Estate mai nl y wi t h new fi rms. These firms usually took a long ti me to settle down, acquire raw materials and to develop a market. Anot her reason for the under-ut i l i - zati on of capacity was that certain units mis-calculated the potential mar- ket. The uni ts manufacturi ng barbed wi re, nuts and bolts and electric motors are relevant examples, for in these industries existing capacity ex- ceeded demand. Twenty-l i ve units discussed the pro- blem of market i ng; 13 out of these faced no specific difficulties in market- ing. The rest were not so fortunate. Four uni ts manufacturi ng c y c l e parts, wi re nails, agri cul tural i mpl e- ments and copper wires were facing tough competi ti on f rom large scale units. Some uni ts suffered due to the l i mi t ed market i n Rajasthan. There was also cross movement of goods, that is, consumers in the local market purchased goods manufactured outside Rajashtan, whereas the local units had to sell their goods in other States (perhaps at lower competi ti ve prices). Two uni ts complained that their market i ng suffered due to trans- port bottl enecks, as rai l way booki ng for South I ndi a was seldom available. Therefore, they had to depend upon road transport whi ch was costly. As the Industri al Estate was i nau- gurated onl y in August 1959, it was too early for most of the uni ts to have plans for f ut ure expansion. Neverthe- less, i nf ormat i on was gathered about such plans to get an idea of the f ut ure evol uti on of the Estate. The i nf orma- ti on is summarised in Table 7. Expansion Plans Si xty per cent of the units had no plans for expansion. They were merely mai ntai ni ng the status quo or t ryi ng to survive. Twelve per cent of the units had concrete plans for ex- pansion and the same percentage of units were contempl ati ng expansion. About 12 per cent of the units were wi l l i ng to expand onl y on certain con- di ti ons, such as a change in Govern- ment' s policies, provision of adequate financial help, l i beral quotas for raw materials, etc. It was our impression that even if these condi ti ons were f ul - filled the uni ts woul d be able at best to uti l i ze f ul l y the installed capacity- One uni t out of 25 reduced produc- t i on due to raw materi al shortage. On the whole the entrepreneurial plans for f ut ure di d not inspire any great opti mi sm about the future of Industri al Estate, It was possible to calculate the capi- tal to gross output rati o for 18 uni ts. For thi s purpose the capital has been taken to include the total productive capital and out put has been measured as the ex-factory value of the actual output at the current rate of uti l i za- ti on of capacity. The value of land and bui l di ng was not i ncl uded in pro- ductive capital nor the rent paid as an element of cost for i ndi vi dual units. In calculating labour output rat i o, la- bour is taken to i ncl ude al l persons engaged in the factory i ncl udi ng the worki ng propri etor. For this purpose no di sti ncti on has been made between skilled and unskilled labourers. In aggregate terms the investment per person employed came to be Rs 14,000 and output (gross value) per person to Rs 15,900. Therefore, the output per uni t of investment on the basis of these calculations amounted to be 1.14. The investment of Rs 14,000 per person employed was ra- ther hi gh, much higher than i n that for the Okhl a I ndust ri al Estate where it was only Rs 7,100. But the conclu- sion that the Jaipur Estate is hi ghl y capital intensive woul d be misleading. The high rati o of i nvestment to la- bour employed is mai nl y due to under- uti ti sati on of capi tal . The factories established in the Jai- pur Estate are small and are manufac- t uri ng a vari ety of products. The units are hi ghl y mechanised and al l of them are using power. In the Estate, the Government has tri ed to promote " new" entrepreneurs. Thi s has resulted in some waste as the new entrepreneurs in most cases are not able to make good use of the va- luable facilities offered to them in terms of technical advice, fi nanci al assistance, power and water faci l i ti es and sheds at subsidised rents. The study shows that the major porti on of capital requirements nre met by sources other than the i nst i - tuti onal ones, i e, personal savings and borrowings f rom fri ends and relatives. Insti tuti onal arrangements have helped to supplement these resources. The empl oyment provi ded by the Estate i s di sappoi nti ngl y s m a l l , and, what i s w o r s e , the ave- rage empl oyment per uni t declined f r om 17 to 15 between 1961 and 1962. The average investment per worker em- ployed is f ai rl y high (Rs 14,000) even when we do not i ncl ude the cost: of constructi on of sheds and the cost of other faci l i ti es on a proporti onal basis. The Estate is thus neither labour i n- tensive nor capital saving. The mai n reason for the small em- pl oyment provi ded by the units seems to be under-uti l i sati on of capacity. The aggregate percentage ut i l i zat i on of capacity wi l l be much lower than even 28.33 per cent if units whi ch are not wor ki ng at al l are also taken i nto account. The mai n reason for the low ut i l i - sation of capacity is the scarcity of raw materials. The existence of scar- ci ty may be a sign of growth as it may create "dynami c di sequi l i bri um" and press the economy to overcome these shortages. This may or may not happen in the long r un, but in the Jaipur Estate the shortage of raw ma- terials has resulted in waste of scarce capital whi ch a developing country like ours can hardl y afford. It appears that there has not been any proper planning in small scale i ndustry, par- t i cul arl y in respect of units based on scarce raw materials. The "steel i n- tensiveness" of the Industri al Estate cannot be justified by the avai l abi l i ty of raw materials. Not onl y are the uni ts f unct i oni ng at less than f ul l capacity but some of the sheds are not in producti on at al l . This is strange because nearly three years have passed since the Estate started f unct i oni ng. In some cases they have installed machinery whi ch was l yi ng idle for want of raw mate- ri al s. In some cases the manufactur- ers earned some easy money by black marketi ng equipment and materials and later on di d not fi nd it necessary to conti nue in business and qui t the Estate. Sometimes the " new" entre- preneurs realised that they were not suited for the manufacturi ng business and l eft the Estate for good. Better Planning Required It appears that entrepreneurs who can play an effective role in economic development are not comi ng f orward, at least not in the Jaipur Estate. It is not possible to sympathise wi t h those who blame the Government for not gi vi ng them the promised help or for meti ng out step-motherly treatment to them as compared wi t h large scale uni ts. The fact is that much help is given to them in the f or m of water and power supply, technical arid finan- cial assistance, banki ng faci l i ti es and uptodate factory space at subsidised rent. Thi s should have been i ncenti ve enough for entrepreneuri al talent to fl ow i nt o the I ndust ri al Estate, It di d not, unfortunatel y. The Government shoul d calculate careful l y (before pro- vi di ng incentives or creati ng faci l i ti es) the ' absorptive capacity' of the l ocal i ty and the ' i ncenti ve el asti ci ty' of the people. Perhaps thi s was not done whi l e l aunchi ng the ambi ti ous progra- mme of setting up i ndust ri al estates for promoti on of small scale i ndustri es. Our study shows that the Jaipur Estate is only a moderate success. But it certai nl y deserved better. The Gov- ernment should have tri ed to make it a model estate whi ch other exi sti ng estates or those whi ch are l i kel y to be established in the Thi r d Plan coul d have emulated. 5 It has certain ad- vantages whi ch other estates in Rajas- than do not enjoy. They can be summarised as fol l ows: (1) The Estate is situated in a cen- tral place and entrepreneurs can ap- proach the Directorate of Industri es and Supplies and other departments di rectl y. (2) There is no scarcity of power and water whi ch other estates in Ra- jasthan experience, being situated in comparatively less developed areas. (3) Jaipur itself provides a fai rl y wide market for sales. Delhi being near to Jaipur, market is not much of a probl em. (4) Di gni tari es vi si ti ng Jaipur usual- ly spare ti me to vi si t the I ndust ri al Estate. It is, therefore, l i kel y to recei- ve more attenti on than other indus- t ri al estates in Rajasthan. But the progress of the Jaipur Esta- te has not been parti cul arl y marked. Judging by this the fate of i ndustri al estates in other parts of Rajasthan is not di ffi cul t to imagine. Some suggestions can be made on the basis of this analysis: (a) There should be proper planning of small scale industries based on scarce materials. Otherwise the exist i ng as wel l as f ut ure units wi l l be starved of raw materials and a crisis mi ght develop in the near future. (b) The Government must: reconsi- der its policy of fi l l i ng i ndustri al esta- tes wi t h new entrepreneurial talent. Since almost all the faci l i ti es other than the f aci l i t y of sheds at subsidised rents, are available to uni ts existing outside, it wi l l be proper to give place in the i ndustri al estate only to those who have proved thei r wort h outside. This wi l l increase thei r efficiency as they wi l l now receive help whi ch they ri ght l y deserve in a more orderl y fa- shion. Thi s wi l l also save the indus- tri al estates f rom unstable entrepre- neurs who start producti on and then after some time stop it and leave the estate altogether or take i nordi natel y before going i nt o producti on. (c) It wi l l be proper to have an i n- f ormat i on cell to collect intelligence about the potenti al market and the scope for new industries whi ch come i nto existence. Thi s wi l l guide the new entrepreneurs as to the types of i ndustry whi ch can be established. Notes 1 In other i ndustri al estates, on the other hand, it has been found that most of the units are ol d ones, i e, existing earlier outside the i n- dustri al estates. 2 Excl udi ng value of investment in land and bui l di ng whi ch is the Government' s. 3 Vide survey conducted by the Small Scale Services Insti tute in the first week of July 1962. 4 The provision of factory bui l di ngs at subsidized rents is also a major source of Governmental financial assistance. 5 In the Thi r d Plan the Rajasthan Government has sanctioned 26 i n- dustri al estates, 800 work sheds in urban areas and 100 work sheds in rural areas. Agro- I ndust ri al Cooperatives IN order that the benefits of co- operation may reach the weaker sections of the communi t y, a scheme to organise agro-i ndustri al and labour service cooperatives has been f or mu- lated by the Mi ni st ry of Communi t y Development and Cooperati on. It is proposed to have one such co- operative in each Village Level Work- er ci rcl e, that is, for a group of villages havi ng a popul ati on of 7,000 to 8.000. The agro-i ndustri al cooperatives wi l l pri mari l y cater to the needs of landless labourers. I ni t i al l y, each co- operative is expected to have some 250 to 300 members. These co-opera- tives wi l l organise manpower in such a manner as to undertake rural works programmes, public works and agri- cul t ural operations systematically. 1027 THE ECONOMIC WEEKLY June 13, 1964
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