Wutan Huatan Jisuan Jishu ISSN:1001-1749

Economic study of rural poor families working in non-agricultural sector: With reference to Narmada District of .

Dr. Pratik Rohit Assistant professor T&NSP Commerce College, Boriavi [email protected]

Abstract: According to Amartya Sen, if you look at the structured form of poverty, poverty depends on two main factors, 1) the proportion of assets held by the people, and 2) the capacity to exchange. According to him, in the structural form of poverty, things like unequal distribution of assets and income, inequality of human capital, inequality in employment opportunities and unfavorable exchange capacity make powerful people more powerful, Which maintains the status of "as it is". It is clear that poverty is still a major problem. The following reasons are mainly responsible for the prevailing poverty in rural families. Poverty has become more widespread as a result of landless farm labor, unorganized occupations, joint family practices, population growth, low wages for workers, defects in production methods, emphasis on capitalist system and low use of labor, etc. It is clear that the root cause of rural poverty is related to livelihood. Livelihood in villages can be divided into two sections based on their source of income, 1) agricultural sector and 2) non-agricultural sector.

Keywords: employment, income, human capital, farm labor, unorganized occupations

Introduction: The rural sector is important in the Indian economy in many ways, in this sense it is imperative to develop the rural sector. The majority of 's population lives in rural areas, accounting for 68.84 per cent of the total population as per the 2011 census. (Census Report 2011) Even today, rural areas are the backbone of the Indian economy. Thus, rural development is a prerequisite for economic development. The emphasis on rural development in India can be seen from the very beginning of planning. Grameen means village or agriculture or related to agriculture. If we look at the definition of villages, "a village or a town is basically a place to live. There is a difference in rural and urban areas in the census all over the world." It is difficult to give a universally accepted definition of a village here, however, it can be generally said that an area with more than 2/3 of its livelihood (income) from agriculture can be considered as a rural area. There are a total of 6, 35,588 villages in India which are inhabited by 68.84% of the total population of India. (Census Report 2011) According to Mahatma Gandhi, India is a country of villages. Therefore, he firmly believed that economic development of villages could lead to economic development of the nation, which is ubiquitous, and if the nation is to develop, the development of rural families and especially rural poor families is inevitable. If we look at Gandhiji's thoughts, "My dream will come true and one out of seven laks villages will become a beautiful living democracy in which no one is illiterate, no one is unemployed due to lack of work, everyone is engaged in some useful business in which everyone is nourished." Food, good medicine, comfortable

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accommodation, adequate clothing to cover the body, and in which the rural population knows and follows the rules of hygiene in the city. Thus, the village and its rural families are at the center of Gandhiji's vision of the economy. Socio-economic issues of rural families include poverty, unemployment, economic inequality, agricultural backwardness, disorganization, traditional practices, etc. Poverty is a major ubiquitous problem. This is like a disease that hinders the growth of the economy. Poor families are a part of society that is deprived of basic necessities of life and services.

Poverty: Poverty is a condition in which a section of the society cannot satisfy the basic necessities of life, as a result of which this section of the society is deprived of the minimum standard of living. Poverty comes in two forms: 1) relative poverty, and 2) absolute poverty. Where the discussion of poverty is considered in terms of unequal distribution of income it is called relative poverty. Due to unequal distribution of income, some sections of the society are richer than others while others are said to be relatively poor. When absolute poverty means the minimum income required to live in a society, even if the person does not have enough income, such poverty is called absolute poverty B. S. Minhas, According to the definition of poverty is as per the plan, urban areas for Rs. 26 and for rural area Rs.32 Minimum standard of daily expenditure per capita has been fixed. That is, per capita daily expenditure in urban areas is Rs. Less than 32 and in rural areas per capita daily Rs. If it is less than 26 then it can be said that the person falls below the poverty line. The total poverty rate in India is 21.1% of the total population. While the poverty rate in Gujarat is 16.63% of the total population. At the rural level in Gujarat, the poverty rate is 19.1 per cent of the total rural population, while the urban poverty rate is 13 per cent of the total urban population. (Minhas, Economic Essays, 2006) Looking at the report of Rangarajan Committee 2014, it was seen that they had submitted their suggestions in the measure of poverty. The cost of clothing, house rent, transportation, and education standards and non-food items were taken into account. The poverty line set by the committee was 19 per cent higher for rural areas and 41 per cent higher for urban areas. It took into account the consumption cost of 3 days and 20 days. According to the estimates of the committee, the poverty rate in the secured areas was 39.6 per cent in 2009-10 and 30.9 per cent in 2011-12. 9.16 crore people were lifted out of the poverty line. While in the report of this committee, the rate of poverty was found to be higher in Haryana, Punjab, Andhra Pradesh and Gujarat.

Table no. 1 Poverty rate in India (2011-12)

NO STATE/UNION TERRITORY POVERTY (% of the population below the poverty line) 1 GOA 5.09 2 KERALA 7.05 3 HIMACHAL PRADESH 8.00 4 SIKKIM 8.19 5 PUNJAB 8.26 6 AANDHRA+TELGANA 9.20

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7 JAMMU KASMIR 10.35 8 HARIYANA 11.16 9 UTTRAKHAND 11.26 10 TAMILNADU 11.28 11 MEGHALAYA 11.87 12 TRIPURA 14.05 13 RAJASTHAN 14.71 14 GUJARAT 16.63 15 MAHARASTRA 17.35 16 NAGALEND 18.88 17 PACHHIM BAGAL 19.98 18 MIZORAM 2.87 19 KARNATAKA 20.91 20 UTTAR PRADESH 29.43 21 MADHYA PRADESH 31.65 22 AASAM 31.98 23 ODISA 32.60 24 BIHAR 33.70 25 ARUNACHAL PRADESH 34.67 26 MANIPUR 31.89 27 ZARKHAND 31.96 28 CHHATISH GARH 35.93 29 ANDABAR NICOBAR 1.00 30 DELHI 9.91

Source: www.mospl.nic.in 12/01/2020 11:45:40 From the above statistics it is clear that poverty is still the main problem in India. The highest poverty rates are in Chhattisgarh, Arunachal Pradesh and Bihar at 35.93 per cent, 34.67per cent and 33.70 per cent respectively. While the lowest poverty rate is in Andabar- Nicobar which is found to be 1.00 per cent. The poverty rate in Gujarat is 16.63 percent. According to Amartya Sen, if you look at the structured form of poverty, poverty depends on two main factors, 1) the proportion of assets held by the people, and 2) the capacity to exchange. According to him, in the structural form of poverty, things like unequal distribution of assets and income, inequality of human capital, inequality in employment opportunities and unfavorable exchange capacity make powerful people more powerful, Which maintains the status of "as it is". From the statistics in Table 1 above, it is clear that poverty is still a major problem. The following reasons are mainly responsible for the prevailing poverty in rural families. Poverty has become more widespread as a result of landless farm labor, unorganized occupations, joint family practices, population growth, low wages for workers, defects in production methods, emphasis on capitalist system and low use of labor, etc. It is clear that the root cause of rural poverty is related to livelihood. Livelihood in villages can be divided into two sections based on their source of income, 1) agricultural sector and 2) non-agricultural sector.

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1) Agriculture: Agriculture is generally preferred in rural areas, while non-agricultural areas are less developed. Agriculture mainly involves economic activities like growing crops, raising animals, animal husbandry etc. 2) Non-agricultural sector: Non-agricultural sector means economic activities that do not involve agriculture. Non- agricultural sector includes economic activities such as housing industry, cottage industry, trade, construction, etc. In rural areas, livelihoods are generally struggling in both agricultural and non- agricultural sectors. According to one estimate, 61.5 per cent of the total population in India is engaged in agriculture and 38.5 per cent in non-agriculture. (Census Report 2011) The following works in the non-agricultural sector include traditional occupations such as blacksmithing, pottery, and small scale industries etc. which are as follows.

Table-2 Non-agricultural works

No Name of work

1 Pottery work 2 Beekeeping 3 Bamboo work 4 Paper / Aluminum Container checking 5 Light engineering 6 Plumbing and Sanitation 7 Fiber glass 8 Leather Article 9 Shuttle Coke May king Sports Goods 10 Traditional fancy leather 11 Leather Goods 12 Vegetable cutting 13 Mobile One Demonstration 14 Blacksmith 15 Carpentry

Source: www.nistads.res.in The various problems of the rural artisan classes were visible even before independence. That is why it was considered necessary to make efforts for the upliftment of the rural artisans during the planning period as part of his vision to make special efforts in the economic policy of the nation. Various efforts were made by the government for the development of rural poor families in particular. According to which various rural development and welfare schemes can be seen implemented gradually. However, the living standards of rural poor families have not been raised to the required level, i.e. above the poverty line. Even today, the proportion of rural poor families is higher. Rural families are deprived of basic necessities like food, shelter, drinking water, toilets, health facilities etc.

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Research Questions:

There are many questions of a poor person or family. What should be done to eradicate poverty from these questions? Thoughts about it are due to problem statement. At the base of this whole study are the questions of poverty. For example, what is poverty? What are the economic and social effects of poverty? How is the lack of basic services due to poverty? How does the whole human life suffer from this vicious cycle of poverty? All these questions are related to this. This study is to be done from a rural perspective, so what can be done to alleviate poverty in the villages? It also makes you want to know. This whole thing in the purpose of my study. Thus any social research arises from the questions. And so this study of mine has also arisen from it. This study covers non-agricultural sector in rural areas. This is because the non-agricultural sector is just as important at the rural level.

Review Of literature:

Saurashtra University Arthashastra Bhavan (1991)

The socio-economic survey conducted in Chorwad village of Saurashtra has covered only the poor families of different communities and various aspects of such poor families have been identified. Although this study is not directly related to the backward class, many business families are poor. Highlights various aspects of their economic, social status.

Vadilal Dagli (1987)

In the book "Rank nu aayojan" it has been clearly stated that according to Gandhiji's philosophy, insufficient attention has been given to the schemes for the upliftment of the backward poor people. Even after a long period of planning, the lives of the poor have not changed, and the benefits of planning have only reached the upper classes. So if we don't change the planning strategy, crores of rupees will be spent and only the upper class will be healthy. And Bapu's poor will be hungry there. Thus, this study sheds light on the fact that our planning has not yielded any tangible results in poverty alleviation.

Dilip R. Shah (1987) In the book "From the Perspective of Indian Rural Economic Development" discusses an important source. In-depth study has been done keeping in view the approach of developmental study. They have shed a sharp light on the extent, impact and nature of rural poverty, the biggest and fundamental problem of rural economics. In the end it is an in-depth analysis of the basic problems of rural development through those policy suggestions. This study covers every section of the village society.

Baheri Bipin writes in detail about poverty in his study "Unemployment and Industrial Crafts and Rural Poverty" Artisans working in various rural industries such as carpentry, blacksmith, dairy development, leather industry, ceramic industry, pottery etc. adopted in rural industrial crafts were studied. And their economic status was examined. According to their study, employment in

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such industries has given employment to rural poor families. The negative effects on these rural artisans can be minimized. Subramanian R.(1988) Objectives: 1) To know the concept of rural poverty 2) To get information about the sources of employment of rural poor families 3) To get information about the wages / compensation of rural poor families working in non- agricultural sector. Research Methodology: This study has covered its objectives, concepts, various methods of collecting information, its analysis, etc. The details of which are as follows. The study is being conducted in the context of non-agricultural families living in rural areas So what is the poverty rate in all the districts of the first state? He tried to find out and his statistics are shown in the table below.

Table 3 District wise poverty rate in Gujarat (2016-17)

NO Name of the district Poverty rate (in percent) 1 22.08 2 AMRELI 16.87 3 AANAD 23.43 4 BANASKATHA 26.98 5 BHARUCH 28.44 6 BHAVNAGAR 7.90 7 DAHOD 45.45 8 DANG 47.60 9 GANDHINAGAR 06.40 10 JAMNAGAR 10.27 11 JUNAGARH 08.55 12 KACCHH 16.90 13 KHEDA 17.33 14 MAHESANA 15.51 15 NARMADA 45.89 16 NAVSARI 12.85 17 PANCHMAHAL 25.16 18 PATAN 19.69 19 PORBANDAR 11.54 20 RAJKOT 15.12 21 SABARKATHA 14.29 22 SURAT 20.57 23 SURENDRA NAGAR 25.08 24 VADODRA 25.04 25 VALSAD 28.72

Source: www.ses2002.guj.nic.in

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From the table above it is clear that the highest poverty rate is found in Dang, Narmada, and Dahod districts. Out of these, Narmada district has been randomly selected, with a poverty rate of 45.89 per cent. Thus, after selecting Narmada district, there are four talukas in total. The poverty rate in these four talukas is as follows.

Table 4 shows the poverty rate by taluka NO Name of taluka Poverty rate 1 Dediyapada 53.80 2 Sabgara 46.06 3 Nandod 43.30 4 Tilakvada 35.40

Source : www.Ses2002.guj.nic.in

Given the poverty rate in the above four talukas, Dadiapada and Sagbara talukas have the highest poverty rate, so these two talukas have been selected in the study Data analysis and Discussion:

Both methods of data collection will be used under the present study. Sources such as government offices, websites, documents, government reports, gram panchayats etc. will be used to obtain secondary information. While the primary information will be obtained through face- to-face interviews with the rural poor families working in the non-agricultural sector and the families' schedule.

Table 5 Non-farm work details No Name of work Percentage of the labors

1 Fishing 17.58 2 Masonry 22.50 3 Bamboo work 37.78 4 Handicraft 11.20 5 Sugar factory work 9.99 6 others 0.95 Total 100 Source: Primary Data Table above is showing it is know that among the worker working in non agriculture, the 37.78 % workers engaged in bamboo making is the highest. Apart from this 17.58 % are engage in fishing, 22.50 % in masonry, 9.99 % in sugar factory and 11 % in handicraft. It means the number of worker of working in bamboo work is the highest.

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Table 6 Duration of the work Sr.No. Duration of the work Percentage of the labor 1 1 to 6 month 32 2 7 to 9 month 42.5 3 10 to 12 month 25.5 Total 100 Source: Primary Data The numbers of workers who get 1 to 6 months of work is 32 %, the numbers of works who get 7 to 9 months of work is 42.5 %, while the numbers of worker who get 10 to 12 months of work is 25 %. This date suggests that workers get fever working days in total year – round.

Table 7 wages based income (yearly) Sr.No. Income slab(Rupee) Percentage of the labor 1 Below 17,500 17.5 2 17,500 to 25,000 37.5 3 25,000 to 40,000 33.5 4 above 40,000 11.5 Total 100 Source: Primary Data The numbers of workers earning less than rupee 17,500 is 17.5 % and number of workers earning between Rs.17,500 to Rs 25,000 is 37.5%. The numbers of worker with an income of Rs 25,000 to Rs 40,000 is 33.5 %. While 11.5 % workers have Rs 40,000 more income. This date suggests that the proportion of the working class with the highest income is the lowest. This level of wage income suggests that the annual income of workers is lower than other occupation. Conclusion: The present study has found that narmada district which is tribal populated district, the people living here are mainly involved in non- agricultural activity with forest based livelihood. Non- farm occupations seem to be forced to relocate due to low returns and employment. These migrant workers have been found to be mostly migrants in the masonry business sense. The main findings of this study are that it is becoming more difficult to make a leaving in terms of income in the face of current inflation. At the same time, the lack of basic facilities in the study area is also evident. To get employment and other facilities, one has to go to a city like sub-district headquarters or district headquarters. Even in today’s modern age, families leaving a normal life are founds in this area who have less source of income as well as lack of business opportunities, which leads to unemployment.

References:  Shah, Vimal (1997, Second Edition), Research Design, University Granthnirman Board, Ahmedabad.  Shah, Dilip (1988), University granthnirman Board in the Perspective of Indian Rural Economic Development, Ahmedabad.

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 Shastri, R. V. (1983), Economics of Rural Development, Popular Publication, Surat.  Dagli Vadilal (1980), Rank Planning, R, R. Seth Company, .  Rajkumar (1996), Problems of Economic Development of India, Rajkumar Prakashan, Ahmedabad.  Joshi V.H. and Others Follow-up Economics Survery of Saurashtra Deptt. of Economics, Saurashtra University Rajkot, 1985.  Pandya B.A., Education and Migroation in Saurashtra, I.C.C.S.R. Research project Deptt. of Economics, Saurashtra University Rajkot, 1989.  Behari Bepin, Employment, Technology and Rural Poverty, Vikas Publishing House, Pvt., Ltd., Delhi, 1988.  Behari Bipin,”Rural Industrial Sation In India, vikas Publications, New Delhi”.  Subramaniyam R.(1988), “Rural Devlopment An Inside Look At Problems And Prospects”, Yatem publications,Madras  www.Ses2002.guj.nic.in  www.mospl.nic.in  www.nistads.res.in

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