ECONOMIC TRENDS

section ii-ECONOMIC PROSPECTS

Economic Prospects : The preceding chapters described the principal sectors of the district economy, such as, agriculture and irrigation, industries, banking, trade and commerce, communications and miscellaneous occupations. However, what is given in these chapters is the mere description of facts as they stand and no analysis regarding trends in the district economy or economic prospects has been contemplated. In this chapter, therefore, it is now proposed to review the current and future trends in the district economy with special reference to development plans. These trends and development plans have been presented in the form of a consorted account of each of the economic factors since the old District Gazetteer was published in 1910 and planned development was accepted subsequently as an economic feature after the country attained freedom.

Agriculture: In 1901, the proportion of the population engaged in agriculture was 71 per cent in Akola district and 76 per cent in Washim, the then two districts which make the present Akola district. Three quarters of the population was engaged in agriculture and large proportion of industrial workers again was engaged in work subsidiary to agriculture. Among the agriculturists in 1901 about 48 per cent were returned as labourers, three quarters of them being actual workers; about 23 per cent were land holders and tenants, not quite a half being workers.

As per the Census of 1911, of the total population of 788863, 376238 i. e., 47.69 per cent were engaged in pasture and agriculture while among those following other occupations many were partially agriculturists. Of the total population of the district 77.68 per cent were depending upon agriculture including actual workers and their dependents. As per the Census of 1921, 613608 persons of the total population of 798544 were dependent upon pasture and agriculture, their percentage to the total population being 76.84.

The occupational classification was changed at the time of the 1931 Census and as per that Census there were in the district, 332982 total earners (principal occupation), 27459 total working dependents and 12689 persons following occupation as subsidiary to others under pasture and agriculture. That means that 373130 persons i. e., 42.57 per cent were actual workers in pasture and agriculture. As per the Census of 1951 agricultural classes numbered 718954 giving a percentage of 74.81 to the total population of 950994. As per the Census of 1961, 81.33 per cent of the total working population was working in agriculture while as per 1971 Census. 81.60 per cent are working in agriculture.

It can be seen from these figures that inspite of some decennial variations the percentage of the population depending upon agriculture has remained fairly steady throughout these years.

When the old Akola District Gazetteer was published in 1910, it was reported on the basis of personal evidences all over the district that since the Assignment of 1853, the area of cultivation had greatly extended but owing to the mistakes in whole records and to changes in the early boundaries, trust worthy figures for preceding fifteen years were then not available. There was scarcely any waste land.

The following statement gives the average acreage for the five year period between 1877-1882 and 1900-1905 under the kharif crops and the rabi crops.

During the year 1907-1908, of the total area of 26,20,000 acres, an area of 19.50,000 acres was under cultivation and total yield was 50 per cent of the normal outturn. The main kharif crops that occupied a considerable area were jowar, cotton, tur and til

Prior to the present century the main variety of cotton grown in the district was bani. By the beginning of the present century, its place was taken by varieties like kathel, vilayati, jari and bani. During the period 1900-1905, the average area occupied by jowar was 6,04,000 acres i. e., 32 per cent of the cultivated area. During the same period the average acreage under tur and til was placed at 47,500 and 9,500, respectively. The chief rabi crops were wheat, gram and linseed with an average area under each during the same period being 77,000, 26,000 and 20,000 acres, respectively.

In 1960-61, the total area under food and non-food crops in the district was 18,95,100 acres of which an area of 9,81,000 acres was under food crops and an area of 9,14,100 acres was under nonfood crops. The following statement gives area under different food crops in the district in 1960-61 and 1972-73.

Area under Food Crops. Akola District, 1960-61 and 1972-73.

Among the non-food crops, fibres accounted for 7,84,500 acres, cotton being the most important with an acreage of 7,78,600, followed by Deccan hemp (ambadi) 3,800 acres and sann-hemp 21 acres. During the same year as many as 1,08,800 acres were under edible oil-seeds and 20,500 were under non-edible oil-seeds. Of the area under edible oil-seeds as much as 91.73 per cent i. e., 99,900 acres were under groundnut. Sesamum, mustard and safflower were the other edible oil-seeds grown on 66,00,800 and 1,500 acres, respectively. Of drugs and narcotics, only betel-leaves were grown on 100 acres. Fodder crops were grown on 200 acres. During 1973-74, area under non-food crops was 3,92,960 hectares, of which fibres accounted for 34,945; oilseeds, 43,373, during and narcotics, 13 and other non-food crops. 123 hectares.

It would appear from a comparison between the earlier and the later statistics, that the total cultivated area of 19,50,000 acres in 1907-08 decreased to 18,95,100 acres in 1960-61. However, this slight decrease was more apparent than real as the two districts of Akola and Washim of 1907-08 (which comprise the areas of the present Akola district) contained some parts of the present Yeotmal district at that time. The crop pattern during this period also does not seem to have changed considerably.

In 1964-65, the total area under cultivation of food and nonfood crops in the district was 7,95,969 hectares of which an area of 4,11,067 hectares was under food crops and an area of 3,84,902 hectares was under non-food crops. Among principal food crops rice occupied 8,309 hectares, wheat 57,034 hectares, jowar 2,41,852 hectares, bajra 5,045 hectares, gram 13,921 hectares, tur 32,497 hectares, sugarcane 419 hectares, condiments and spices 3,163 hectares and fruits and vegetables 2,295 hectares. Almost the entire area under fibres i.e., 99.09 per cent was accounted for by cotton which was grown on 3,35,521 hectares. Groundnut occupied an area of 33,707 hectares which was 73.11 per cent of the area under oil-seeds.

In 1964-65 the cultivation of rice increased by about 971 acres over that in 1960-61. The increase in jowar was by about 12,140 acres and that of wheat by about 13,536 acres. The downward trend was noticed in respect of bajra by about 1,034 acres.

In respect of gram, it was cultivated in about 1,600 acres more in 1964-65 than in 1960-61. Tur was planted in about 3,803 acres more. The rise in respect of condiments and spices was to the tune of about 7.68 per cent. The area under total food crops which was 9,81,000 acres in 1960-61 rose by about 3.55 per cent i. e. to about 10,51,787 acres in 1964-65.

Principal among non-food crops were cotton and groundnut. However, the cultivated area under cotton showed an upward trend during 1964-65 over that of 1960-61 while it showed decline in respect of groundnut. In 1960-61 groundnut was taken on 99,900 acres while in 1964-65 it was taken on 83,293 acres showing a decline of about 16,707 acres. In respect of cotton it rose from 7,78,600 acres in 1960-61 to 8,29,105 acres in 1964-65. The increase was by 50,505 acres i.e., by about 6.49 per cent over that in 1960-61.

The following table gives the outturn of principal crops in the district from 1960-61 to 1964-65 and 1972-73.

TABLE No. 1

Outturn of Principal Crops. Akola District

(in 00 tonnes)

* Bales in 'oo'.

^** In terms of Gur.

N. A. = Not available.

On comparison of the above table, a trend that is clearly visible is that the production tended tobe on the lower scale up to 1963-64. It again showed an upward trend in 1961-65. The crop pattern also does not show much change in 1965-66 as against 1960-61.

Irrigation —At the time of the publication of the old Akola District Gazetteer, irrigation facilities were very meagre in the district, only 14,500 acres of cultivated land being under irrigation Irrigation was mainly from wells. Irrigated land was chiefly used for the growth of sugarcane, brinjals, onions, garlic, sweet potatoes, oranges, plantains, guavas and other kinds of green vegetables.

The following table gives the area irrigated by different sources in Akola district during 1960-61, 1962-63 and 1972-73.

TABLE No. 2

Irrigated Area by Different Sources, Akola District, 1960-61, 1962-63 and 1972-73

*Figures for the year 1972-73 arc in hactares.

In 1972-73 only 1.70 per cent of the total cultivated area in the district was under irrigation mainly by wells. Wheat, sugarcane, chillis and cotton to some extent were the only crops which were irrigated.

The net area irrigated which was 3,500 hectares in 1962-63 rose to about 15,477 hectares in 1972-73

Thus it can be very well seen that irrigation facilities did not increase much over a period of last 60 years, and remained almost static. The Katepurna river project and the Morna irrigation project have however increased the irrigation potential in the district. Besides these important river projects, the irrigation projects on Nirguna river and the tanks of Ekburji, Borala, Shirputy, Borwa and Giroli have also added to the irrigation potential in the district.

Planned Development.—The allocation towards the development programmes of Vidarbha region in the Third Five Year Plan shows a significant increase over that in the earlier plans. The total outlay for the third plan for Vidarbha was revised to Rs. 96.41 crores from Rs. 88.18 crores to which it was originally fixed. The allocation for the district level programmes in Akola district was to the extent of Rs. 4.38 crores. Of this., 33 per cent of the amount was earmarked for agriculture.

The different schemes under the agricultural programmes were aimed at the improvement in productivity. With this view, schemes relating to soil conservation, minor irrigation, improved agricultural practices etc., were undertaken in the district. The programmes for the developments of forests, fisheries, animal husbandry and dairy development were also implemented. The following statement shows the total expenditure on different heads of development as compared to the total allotment.

In what follows is described in brief, the progress of development in respect of agriculture and irrigation roughly covering the peroid of the Third Five Year Plan based upon certain important indicators of development.

The gross sown area in the district increased by 3.4 per cent in 1964-65 over the gross sown area in 1961-62. It was 75.4 per cent of the total geographical area in 1964-65 as against 72.9 per cent in 1961-62. The net area cultivated in the district was 7,65,000 hectares in 1961-62. The same rose to 7,90,000 hectares m 1964-65. The gross cropped area also increased to 7,96,000 hectares from 7,70,000 hectares in 1961-62.

The highest percentage increase of 103 was noticed in outturn of bajra in 1964-65 over that in 1961-62. The outturn of bajra which was 600 metric tonnes rose to 1.219 metric tonnes by 1964-65. The outturn of groundnut remained almost unchanged during the period though its yield rate in 1964-65 had shown an increase of 5 per cent over the yield rate in 1961-62. During the year 1964-65 the yield rate as also the outturn of almost all the crops showed a genera! increase over that in 1961-62.

During the period 1960-61 to 1964-65, the area under food crops increased by 3.53 per cent and that under non-food crops by 7.54 per cent whereas the double cropped area increased by 120.27 per cent. The following statement gives the area under food crops, non-food crops and double cropped area in 1960-61 and 1964-65 and the percentage increase or decrease during the period.

Irrigation in the district is almost negligible, accounting for only 0.7 per cent of the gross cropped area in 1964-65 and 1.94 per cent in 1972-73. In respect of irrigation the district ranked 7th in the Nagpur Division in 1964-65. Wells form the main source of irrigation and in 1964-65 irrigation wells in use numbered 6,194 which increased to 8607 in 1972-73.

Washim tahsil ranked first in area under irrigation under food crops followed by Balapur tahsil In respect of irrigation under non-food crops Akot tahsil ranked first and was followed by Washim. Of the total area of 5.441 hectares under irrigation in the district in 1964-65, an area of 5,035 hectares was under food crops and the remaining i. e., 406 hectares was under non-food crops.

The live-stock population of the district decreased to 8,59,993 in 1966 from 8.65,798 in 1961. The decrease was by about 10 per cent. The poultry population enumerated in 1966 was 1,35,942 comprising 1.25,806 of local type and 10.136 of improved varieties. The number of birds kept per 100 households in the district was 69.03 against 137.40 in the State and 129.01 in the Nagpur Division. The number of eggs produced per hen was estimated at 84 for the district as against 84 for the State and 61 for the Nagpur Division. As per 1972 Live-stock Census the live-stock population of the district is enumerated as 843948. while the poultry population as 175127.

Agricultural credit plays an important role in the development of agriculture. There was enormous increase in loans advanced in 1905-66 over those in 1961-62. The co-operative credit facilities have helped the agriculturists to acquire what mostly constitutes, capital investment and thereby enabled them to increase output.

Industries: In 1901 the proportion of the population engaged in agriculture was 71 per cent in Akola district and 76 per cent in Washim district. Whereas the industrial population accounted for 14 per cent in Akola and 11 per cent in Washim, the commercial; 2 per cent in each and the professional 2 per cent in Akola and 1 per cent in Washim.

During the same year, in Akola district there were 3,384 cotton weavers including dependents, and in Washim only 1,223. At the time of the publication of the old Akola District Gazetteer (in 1910) the district had over 8,000 factory hands.

In Akola district the traditional Craftsmen though limited in number were more important than other parts of Berar. Gold and silver smiths numbered about 8,000, carpenters were numerous, a number of oil presses were worked on bullocks, few people were engaged on looms making coarse blankets and cotton cloths, Kagazi Muhammedans at Balapur used to make paper by hand and a few dyers were scattered over the district. This was in brief the position of handicrafts in the district as described in the old Akola District Gazetteer.

As per the Census of 1911 the actual workers in industry in the district numbered 37,737 including 26,626 males and 11,111 females, the total workers including dependents being 69,900. As per the 1921 Census the number of actual workers in industry was 31,311 including 21,794 males and 9,517 females with the total workers including dependents at 62,676. The number of actual workers in industry decreased by 17.03 per cent and the number of total workers and dependents showed a decline by 10.34 per cent.

The 1921 Census report of the Central Provinces and Berar refers to the trends in cotton weaving and spinning industry in Akola district and hence it is reproduced below. "Cotton weaving and spinning mills, of which there are now 12, employ 18,807 persons, an increase of 41 per cent in 10 years, and ginning and pressing factories have increased in number from 153 to 186. In spite of the increase in the number of these establishments, the number of workers in them fell from 13,592 in 1911 to 10,808 and a large number must have been working at less than their full strength".

The Census of 1931 enumerated under industries 28,265 persons, 23,354 males and 4.911 females as total earners (principal occupation), 1964 persons. 519 males and 1,445 females as total working, dependents and 3,318 persons, 2,575 males and 743 females as total following occupation as subsidiary to other.

As per the 1951 Census 11,167 persons, 10,197 males and 970 females were engaged in processing and manufacture concerning foodstuffs, textiles, leather and products thereof. It reported 1,726 persons, 1,674 males and 52 females as engaged in processing; and manufacture of metals, chemicals and products thereof.

As per the Census of 1961 there were in all 28,388 workers engaged in industries of whom 13,407 or 47 per cent were engaged in household industries and 14,981 or 53 per cent were engaged in non-household industries. The only large-scale industries in the district employing 50 or more persons and using power were two cotton spinning and weaving mills and a hydrogenated oil (vanaspati) mill, all located at Akola. Besides there are; number of oil-mills in the district. By the end of December 1961, there were in the district 85 working factories with 5,077 workers employed daily in the factories that submitted returns and 1902 employees engaged daily in those factories not submitting returns. The number of factories increased from 85 during 1961 to 89 during 1962 but decreased to 87 during 1963; the average daily employment similarly increased from 6,979 during 1961 to 8,072 during 1962, and decreased to 7,888 during 1963.

From the point of view of employment the textile establishments were important and employed, on an average, 838, 1,420 and 1,517 persons per day per establishment during 1961, 1962 and 1963, respectively. The hydrogenated oil industry also employed. on an average, 467 persons during 1963. The ginning and baling factories were next to provide employment to 84 during 1961, 85 during 1962 and 77 during 1963 per establishment per day.

The following statement gives the distribution of registered working factories during 1963 in the district.

Distribution of Registered Working Factories, Akola District, 1963

F. N * As per Annual Survey of Industries in 1966, there were 85 registered factories in the district which employed 5,121 persons.

In 1964 the total number of registered factories rose to 88 from 87 in 1963. There were in the district 7,752 factory workers in 1964. This number rose to 8,321 in 1965-66. In 1972, the total number of registered working factories submitting returns in the district was 56, which employed on an average 3,419 workers daily.

The programme for industrialisation particularly in rural areas was envisaged in the district level plan during the Third Five Year Plan. As an incentive to handicraft workers to form into co-operatives for increasing production, financial help of Rs. 22,000 was given to various organisations during the period. An amount of Rs 47,000 was distributed to co-operatives of handloom weavers for organising development programmes for increasing production Thus total expenditure of Rs. 69,000 was incurred on the industrial development programmes at the district level during that period.

Transport and Communications: The old Akola District Gazetteer (1910), states that at that time the district had comparatively good communications. The district had 57 miles of railway line passing through the northern parts of Balapur, Akola and Murtizapur tahsils with, ten stations. The railway mileage increased in 1961 by about 171.9 per cent when it rose to 155.14 miles, according to Census of 1961. The number of railway stations in the district also ruse from ten to 33. The Khandwa-Hingoli-Purna railway route that traverses through the length of the district has connected the metre gauge railway system in North India with that in South India. It has connected Indore and Khandwa in Madhya Pradesh with Secunderabad via Akola and Purna. Besides serving the local transport needs, it has assumed national importance in view of the fact that it is bound to help the industrial growth of the region by providing new openings for the movement of industrial raw materials and distribution of finished goods.

About roads the old Gazetteer states that first class roads measured 172 miles, and second class 75 miles, the former costing a total of Rs. 70,000 a year, and the latter Rs. 20,000 for maintenance.

The following statement gives the categorywise length of roads in the district in 1951, 1956 and 1961 as per the 1961 Census,

During the period 1951-1961 there was no change in the mileage of national highways. The State highways, however, increased by 195.30 miles. The major district roads and other district roads decreased by 55.63 miles and 3.28 miles, respectively. This decrease appears to have been due to up gradation of a few roads to State highways. The village roads increased by 5.39 miles only. The total increase in all types of roads in 1961 over that in 1951 was 141.78 miles. During 1973-74 the total kilometreage of all types of roads was 2873.37 km. The total increase in all types of roads in 1973-74 over that in 1961 was 1996.71 km.

At the beginning of the Third Five Year Plan the proportion of road length was 8.0 kilometres per 100 square kilometres. Road works measuring over 300 km. were completed during the Third Five Year Plan. The total actual expenditure incurred on these roads was reported at Rs. 37.01 lakhs against the plan outlay of Rs. 38.93 lakhs.

The following statement gives the percentage increase in road length per 100 square kilometres as on 31st March 1961, 31st March 1966, and 31st March 1974 in respect of the different categories of roads.

Trends in transport and communications in the district during the years 1950-51, 1955-56, 1960-61, 1962, 1963, 1964, 1965, and 1973-74 as revealed in the following table are significant.

TABLE NO.3

Transport and Communications, Akola District.

Price Trends : The study of the general price trends prevailing over a period of time enables to form impressions about the economic condition of the people. Prices are also important because they regulate the channels of production and govern consumption. The structure of prices, particularly of food-grains, affects almost all the sections of the community. The demand for consumer goods especially, expands or contracts in response to changes taking place in the price of the particular commodity. With rising prices in respect of certain commodities a few families particularly in the low income group are forced to change the consumption pattern. Changes in prices also affect the marginal propensity to consume or to save.

It is difficult to give the history of prices in the district because of inconsistencies in data collection and record. Two official accounts were published of the price of jowar in the old Washim district as a whole One was O'Conor's 'Prices and wages in India' and the other, the Revenue Administration Report. Prices in Mangrulpir tahsil of the district were also given separately in two accounts, both printed in the Revenue Settlement Report, the one supplied by the Tahsildar and the other compiled by the Price Current Inspector from the books of local merchants. The following table shows the prices of jowar according to these four accounts for ten years from 1873 to 1882.[ Central Provinces and Berar District Gazetteers. Akola District, 1910., p. 197.]

TABLE No. 4

PRICES OF JOWAR

Quantities sold for a rupee in seers of 80 tolas

The average price of jowar from 1901 to 1906 was 19 seers per rupee. The price rose to 15 seers per rupee in 1907. The rate of cotton during the period 1901-1906 varied between Rs. 147 and Rs. 223 per khandi, depending upon the quality of cotton. During the same period the average price of wheat was 9½ seers to the rupee. The price of gram was 13 seers a rupee, that of linseed varied between 5 and 11 seers, of rice between 7 and 10 seers and that of salt between 11 and 15 seers. The following statement gives the prices of certain commodities per rupee during 1908-09

The prices were generally higher in Akola town than elsewhere.

With the beginning of the World War I the price level shot up in the country and registered a steady rise till the beginning of the world wide Great Depression of 1930 when prices began to fall. The downward trend continued till 1933 after which was noticed an upward trend which continued upto 1938.

The price level again rose with the beginning of the World War II in 1939. The rise was mainly due to the inflationary trends resulting from war efforts of the Indian Government and the excessive expenditure on military, arms and ammunition coupled with the intensive activity of the speculators, holding back of stocks in anticipation of future shortages and black marketing of consumers goods in case of which the level of rise was more intense than in that of producers goods.

The following statement gives the all India wholesale price index numbers for 1955-60 with 1952-53 as the base year [During 1973-74 the consumer price index numbers (Revised series with 1960 as the base year) were: food-302; liquors and tobacco-185; fuel and light-200; housing-143; clothing-255; miscellaneous-173 and general-256.].

The prices of almost all the consumers goods still continue to rise, a phenomenon witnessed since 1960. During November 1962, the price of gurumuthia variety of rice was Rs. 0.55 per kilogram in Akola market. It rose to Rs. 0.63 per kilogram by December 1963. Slight fall in the price of rice was noticed during July and August in Akola market. Wheat (medium) was sold at an average monthly price of Rs. 0.59 per kilogram during November 1962 in Akola market. The price, however, declined to Rs. 0.50 per kilogram during the harvesting months of March and April 1963 and again rose to Rs. 0.56 by December 1963 Jowar costing Rs. 0.42 per kilogram during November 1962 fell as low as Rs. 0.28 per kilogram from April to August 1963 and again went up to Rs. 0.35 per kilogram during December 1963

In respect of the prices of pulses prevalent in Akola market, gram dal and arhar dal were sold at Rs. 0.53 and Rs. 0.69 per kilogram, respectively during December 1962. By December 1963. a rise of 13 paise and 19 paise per kilogram was noticed and the prices rose to Rs. 0.66 and Rs. 0.88 per kilogram. In respect of other pulses also the same tendency was noticed. However, the prices of all the pulses were observed to have declined slightly during harvesting period.

In rural markets of Akola district, rice (medium) was available for Rs. 0.61 per kilogram during January 1963 and the price of the same rose to Rs. 0.79 per kilogram during December 1963. Average prices of wheat (coarse) and jowar also increased from Rs. 0.56 per kilogram and Rs. 0.28 per kilogram, respectively during January 1963 to Rs. 0.62 and to Rs. 0.34 per kilogram, respectively during December 1963. This general trend in upward direction was also evident in the prices of pulses. The price of Arhar (dal) thus rose from Rs. 0.65 per kilogram during January 1963 to Rs. 0.85 per kilogram during December 1963 and that of gram (dal) from Rs. 0.53 per kilogram during January 1963 to Rs. 0.66 per kilogram during December 1963.

The price of groundnut oil was as high as Rs. 2.00 per kilogram in Akola market during November 1962, hut then its price started falling and was found at Rs. 1.75 per kilogram during March 1963 and went upto Rs. 2.17 per kilogram during September 1963 and then again started falling. The price of gur in Akola market was Rs. 0.88 per kilogram during November 1962 and then came down to Rs. 0.75 per kilogram during February 1963 and rose to Rs. 1.50 per kilogram during October 1963 and then started falling from November 1963 and was Rs. 1.08 per kilogram during December 1963. Similar tendencies in the prices of groundnut oil and gur were observed in rural markets; the price of groundnut oil which was Rs. 1.87 per kilogram during January 1963 rose to Rs. 1.97 per kilogram during December 1963; gur, which was sold at Rs. 0.75 per kilogram during January 1963 was available at Rs. 1.06 per kilogram in December 1963.

The price of mutton (goat's) was more or less constant at Rs. 3.00 per kilogram in Akola market, while it varied between Rs. 2.50 and Rs. 2.83 per kilogram in rural markets during 1963. Eggs were available at the minimum price of Rs. 1.50 per dozen and at the maximum of Rs. 2.25 per dozen in Akola market; the prices of eggs in rural markets varied from Rs. 1.38 per dozen to Rs. 1.67 per dozen during the year 1963.

Dry chillis (Dharmbad variety) varied in prices from Rs. 3.00 to Rs. 3.25 per kilogram throughout 1963 in Akola market. The dry chillis, local variety, were however, available in rural market at an average price of Rs. 2.71 per kilogram at the minimum and Rs. 3.21 per kilogram at the maximum throughout 1963. Turmeric (Sangli) was fetching a price of Rs. 1.85 to Rs. 1.95 per kilogram from February 1963 to August 1963 and more than Rs. 2 00 per kilogram during other months in Akola market.

In Akola market, potatoes were sold at an average price of Rs. 0.37 per kilogram from January to May 1963 and the price of the same article was Rs. 0.62 per kilogram during September to December 1963. The prices of potatoes in rural areas were between Rs. 0.41 and Rs. 0.50 per kilogram from January to May 1963, and about Rs. 0.65 per kilogram during the last two months of 1903. The price of onions varied between Rs. 0.25 and Rs. 0.31 per kilogram from January to November 1963. but was Rs. 0.37 per kilogram during December 1963 at Akola. The rural prices of onions were, however, as low as Rs. 0.20 per kilogram during May and June 1963 and were as high as Rs. 0.48 per kilogram during November and December 1963.

Kerosene, the price of which is more or less fixed by the oil companies, was sold at Rs. 0.35 per litre during February 1963 in Akola market and consequent upon imposition of excise duty on kerosene during 1963-64, the same was sold at a price varying from Rs. 0.42 to Rs. 0.44 per litre at Akola and from Rs. 0.44 to Rs. 0.47 per litre in rural areas; fire-wood was sold at Rs. 3.12 per 40 kilograms during January 1963; but its price rose during the last three months of 1963 and was Rs. 3.50 per 40 kilograms during December 1963 at Akola.

The phadia supari was reported to have been sold at Rs. 6.37 per kilogram at Akola during December 1962 and Rs. 7.50 per kilogram during all the months of 1963. Its price in rural areas however, varied from Rs. 6.91 to Rs. 7.50 per kilogram during 1963. The price of tobacco (leaf) was recorded at Rs. 2.80 per kilogram during January and February 1963, and then an upward tendency was observed with the price at Rs. 4.00 per kilogram during December 1963 at Akola. In rural areas also this upward tendency in the price of tobacco was noticed, the price having gone up from Rs. 3.37 per kilogram during January 1963 slowly from month to month upto to Rs. 4.33 per kilogram during December 1963.

It needs to be pointed out that data regarding prices was collected at Akola as well as three different rural centres and they relate in general to the prices of those varieties which are regularly sold in the markets. Hence the prices in urban and rural areas of the same article are not likely to be exactly comparable due to the differences in quality and the differing nature of the urban and rural demands.

The trend in price rise, particularly in case of food stuffs, continued in 1965. The following table gives the comparative statement about average retail prices prevailing at the district headquarters in 1962 and 1965.

TABLE No. 5

Average Retail Prices at Akola in 1982, 1965 and 1973.

We find that the entire price structure has undergone a wide change during the last fifty to sixty years. During the period 1901-1906, the average price of rice was about 7 to 10 seers a rupee. In 1965, to obtain 8 seers of medium quality rice entailed an expenditure of Rs. 4.36. Jowar was available at about 19 seers a rupee during 1901 to 1906. In 1965, the price of jowar was Rs. 0.57 per kilogram. Such tendency of increasing prices has been noticed in respect of almost all the commodities in the district. This, however, was in keeping with the pattern found all over the country.

Wage Trends: In view of the migratory movements of labour, mostly seasonal, between farm and factory, levels of industrial and agricultural wages are closely related. Industrial wages even in the rural areas are generally higher than those paid to agricultural labour. The district of Akola is also considered to be one of the industrially advanced districts of the State and hence the study of wage trends in respect of industrial wages is necessary. As authentic data are lacking no statistical accuracy is claimed for the following analysis of trends in wages. The old Akola District Gazetteer (1910) gives the following account about wages.

Urban wages.—"The rates of urban wages are best represented by the pay given in cotton factories, though no single employment is completely typical. The different classes of employees at Akola during the season of 1908-1909 have been getting-a woman feeding cotton gins As. 3½ a day, an unskilled male labourer on a cotton press As. 6 to As. 10, a hamal (porter) As, 12 to As. 14, a watchman Rs. 8 a month, an oilman Rs. 9 or Rs. 10, and a fitter Rs. 40 to Rs. 50. Thus Rs. 8 a month is the lowest pay quoted for a man; a strong hamal might well make over Rs. 20. However, in March 1909 a contractor removing cotton stalks from a field close to Akola was paying his men only As. 2½ a day; they worked from sunrise till noon. Artisans, such as carpenters, find plenty of employment and would often require more than Rs. 20 a month, but pay varies very largely according to the season and the individual. The hire of a car is nominally Rs. 30 a month but sometimes rises to Rs. 2 a day Meanwhile an engineer with a second class certificate would get Rs. 65 a month and a first class engineer Rs. 140, along with lodging, light, and fuel. The pay in trading firms of employees of high caste, able to read and write, is comparatively low; it often starts at Rs. 8 or Rs. 10 a month and very seldom rises beyond two or three times that amount, though there are exceptional cases. The pay of Government clerks varies from Rs. 20 or Rs. 25 for a copyist to Rs. 200 for the principal clerks in a District office, with a few posts even more highly paid elsewhere and a pension to follow. However the employee of a private firm has often less exacting work and may be given small presents at festivals, an advance which is in fact a present for his marriage, and other miscellaneous advantages."

During World War 1, the prices of all commodities rose con siderably and marked changes, permanent in character, were noticed in respect of the purchasing power of rupee. This in itself led to the rising trend in wages during the period. The wages again showed downward trend after a heavy fall in prices caused in the Great Depression of 1930. The wages, side by side with prices again showed an upward trend with the outbreak of the World War II. During the war years, establishment of many industrial units in the district caused a good demand for skilled labour and that accounted for further wage rise in the district.

After independence, under the socio-economic policies of Government and a commitment for planned development, the wage structure in the district in keeping with the pattern found in the State came to be influenced not only by economic factors but also by others such as statutory regulation of wages and the employer-employee relations. The Government of Maharashtra have fixed the minimum wages in respect of certain categories under the Minimum Wages Act of 1948. The list of the same is given below.

(1) Rice, flour and dal mills, (2) Tobacco (including bidi manufacturing), (3) Oil-mills, (4) Local authority, (5) Road construction and building operations, (6) Maintenance of roads. (7) Stone breaking or stone crushing, (8) Public motor transport, (9) Tanneries and leather manufacturing, (10) Residential hotels, restaurants and eating houses, (11) Printing presses. (12) Cotton ginning and pressing, (13) Glass industry, (14) Shops and commercial establishments, (15) potteries, (16) rubber. (17) Paper and paper board and (18) Cinema.

The wages in industrial units, as has already been noticed, are fixed mostly by the Government under notification. How-ever, the wages of rural labour differ. The following table gives the wages of rural labour for the year 1973 at three centres of Borgaon, Arising and Chohatta in the district.

TABLE No. 6

Average Wages of Rural Labour at Arising, Chohatta and Borgaon in 1973

The mode of payment of wages in rural areas has changed in the last few years. The baluta system is fast disintegrating. The payment of wages in kind does not now find favour with the employers in many cases. The rising prices have also helped the discontinuance of the baluta system though it is still in vogue in some remote parts of the district.

Progressive Economic Legislation.—The economy of the district is controlled under various enactments. Since the attainment of Independence many legislative measures have been adopted to ameliorate the conditions of the weaker sections of the population engaged in different economic activities. [For details see Chapters 1. 5 and 6 above.]

These progressive measures adopted by the State have a visible effect upon the attitude of the people towards life even in a small region like that of a district. That the people have become economically more conscious is obvious from their larger participation in the activities undertaken by the State for their benefit.

In this chapter have been described so far trends in different aspects of the district economy. These trends depict the material progress achieved. However mere enumeration of this progress is not enough unless it is related to the effects it has upon the general conditions of living of the people. In what follows are given the trends in respect of clothing, housing, food, indebtedness, etc., for the general populace of the district.

The old Akola District Gazetteer published in 1910 states; "It is said, however, in all parts of the District that both cultivators and labourers now have houses, food, and clothes much better, as well as more expensive, than they had 50 or 60 years ago; they give entertainments on a far larger scale, and they feel no necessity to work for long hours". But it also adds that the cultivators themselves felt the burden of debts keenly.

About the expenditure upon food, housing and clothing, the Census Report for 1931 of the Central Provinces and Berar states the following'..................."The percentage of expenditure on food does not decrease with the rise of incomes, as one would expect from Engel's Law. This is due to there being a higher number of persons per family in the higher income classes and also due to many workers in the higher income classless having their own houses and thus not having to spend a portion of their income on rent. The operation of Engel's Law will, however, be clearly discernible if we make allowance for these factors; and it would be more or less apparent that an increase in income is attended with a tendency to decrease the percentage expenditure on food and increase that on others. Percentage expenditure on rent and clothing does not show the expected increase according to Engel's Law. This is due to the fact that the standard of housing and clothing observed amongst Indian labour does not vary so much with income, as with social standing, local and communal customs. Moreover, the families in the higher income classes prefer building their own houses and save the rent if they have the means to do so. As for clothing, the minimum requirements of Indian climate, specially in the plains are limited, and clothes of better quality are considered a luxury to be indulged in only on festive occasions.........The base necessaries of life are cut down to the lowest possible minimum........."

The following statement reproduced from the same Census report gives the percentage expenditure on the main groups of commodities.

Percentage Expenditure on Main groups of Commodities,

1931 Census

The position in all these respects has, however, changed recently. The food habits of the people have radically altered. They have now started consuming rice and wheat which once was considered a luxury to be eaten on festive occasions. Milk has also entered in the consumption pattern, the intake depending upon their income. Tea has become an inseparable item of consumption even in remote rural areas of the district.

In respect of clothing a wide change is noticed in respect of the people in urban areas. Ordinary cotton and coarse cloth, of late, has been giving way to terylene and such other superior fabrics and which have in majority of cases become the ceremonial wear of the rural folk.

In respect of housing, the people in the higher group in the urban areas stay in the premises owned by them and even if rented, they contain about two to three rooms which arc well ventilated and comfortable. The people in the middle income group also stay in well ventilated houses. Only the people in the low income group stay in not very healthy surroundings in one room tenements or in huts constructed in the vicinity of the town. In rural areas the well-to-do occupy houses mostly owned by them and the people in the low income group stay in the huts constructed by them.

Thus we find that a noticeable change has taken place in respect of housing conditions, clothing and food habits and this has been facilitated due to the change in the outlook of the people stimulated by the State's goal and policies towards a socialistic society through planned development.

Industrial Potentialities: Taking all the factors into consideration the Maharashtra Economic Development Council in its publication Maharashtra-An Economic Review (1967) gives the industrial potentiality of the district of Akola alongwith the other districts of the State. The industries included therein are cotton textiles, steel re-rolling mills, general engineering, manufacture of agricultural equipment, bolts and rivets, surgical cotton, mechanical work-shops and electrical accessories. The Master Plan for Industrialisation of Bombay State prepared earlier in 1960 also had enumerated the same types of industries as having good scope for development.

Low staple cotton, cotton waste and linters which are available in the district in ample quantity from ginning and pressing units could be used for manufacture of surgical cotton for which there is a considerable demand in the country. Akola town is considered suitable for the location of this industry. The capital requirement for a plant with a capacity of one ton per day would be about five to six lakhs of rupees and would provide employment to about 50 to 75 workers daily.

Solvent extraction of oil-cakes to recover the residual oil and obtain practically oil free cake is an important feature of the oil industry. Akola town is considered to be a particularly suitable place for this industry in view of the availability of oil-cakes and cotton seed, and the other necessary facilities. A plant with a 50 ton capacity for processing of meal (oil-cake and seeds) would require capital investment of about Rs. 15 lakhs providing employment to about 60 persons. A combination of 50 tons solvent extraction plant and a refinery of matching capacity would require capital investment of about Rs. 25 lakhs and would give employment to about 90 to 100 persons.

Though the idea of recovering oil from cotton seed is of recent origin, it is of considerable importance. Cotton seed, besides being a source of oil, is a valuable manure and cattle-feed. Better quality of oil is obtained if the seeds are delinted and decorticated before their extraction or expression. Debuting makes available linters, a valuable raw material for the production of chemical cotton, gun cotton, high grade paper, rayon grade pulp and other cellulose products. A composite unit, therefore, for recovering linters, decorticating seeds for expression or extraction of oil and refinery will be desirable. Modern trends, however, favour direct extraction of delinted and decorticated seeds. As the annual availability of cotton seed in the district is of high order, Akola is considered to be the proper centre. A 60 tons per day cotton seed processing plant would require an investment of about Rs. 25 lakhs inclusive of preparatory machinery and refinery of matching capacity. In case of a solvent extraction plant, additional cost of cotton seed preparatory machinery and attendant non-recurring expenditure would be about Rs. 7 lakhs. Thus the capital requirement would be about Rs. 22 lakhs employing about 70 to 80 persons.

Pure fatty acids, e. g., stearic acid and oleic acid find wide application in textile, rubber, lubricants, plastics and cosmetic industries. Quality of fatty acids manufactured by usual methods is often not of a very high order owing to the colour and presence of unsplit fats. These defects can be removed by distillation. Pure white fatty acids from linseed oil will find ready market for the production of alkyd resins. Akola is a suitable location for the industry in view of the availability of oil seeds and other factors. An economic unit of about two to three tons per day capacity with capital investment of Rs. 10 lakhs would provide employment to about 75 persons.

Dispersal of steel re-rolling mills development of which has been mainly restricted to Greater Bombay, would reduce the load on the railway transport system and will facilitate distribution of rolled products. Steel re-rolling mills depend on billets semis and scrap as starting material for the production of steel sections like baling hoops, cart-wheel lyres and flats and rounds, demand for which is increasing. With a large number of ginning and pressing factories which would be the potential consumers of baling hoops Akola presents its claim as a suitable place for this industry. The choice of Akola is also justified on the ground of its being a junction on both the broad and metregauge lines as considerable scrap would be available in the rolling and merchant mills of the Bhilai steel plant. Capacity of 100 tons per month with a 10' rolling mill is considered the smallest economic unit. The capital requirement of an undertaking of this size would be about Rs. ten lakhs employing about 100 persons. A mill with a higher capacity could be considered depending upon the possibility of obtaining scrap and billets.

In respect of cottage and village industries, many of the villages in the district have sufficient resources to support economic units of these industries. The handicrafts school at Akola imparts training in the various crafts to the local populace.

After, all these programmes are carried out and industries established, it is expected that employment potentialities would go up and would create conditions for a better standard of living of the people.

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