The London School of Economics and Political Science Opium Poppy Husk Traders in Rajasthan: the Lives and Work of Businessmen in the Contemporary Indian Opium Industry. Roeland M. de Wilde A thesis submitted to the Department of Anthropology of the London School of Economics for the degree of Doctor of Philosophy, London, February 2009 l UMI Number: U615947 All rights reserved INFORMATION TO ALL USERS The quality of this reproduction is dependent upon the quality of the copy submitted. In the unlikely event that the author did not send a complete manuscript and there are missing pages, these will be noted. Also, if material had to be removed, a note will indicate the deletion. Dissertation Publishing UMI U615947 Published by ProQuest LLC 2014. Copyright in the Dissertation held by the Author. Microform Edition © ProQuest LLC. All rights reserved. This work is protected against unauthorized copying under Title 17, United States Code. ProQuest LLC 789 East Eisenhower Parkway P.O. Box 1346 Ann Arbor, Ml 48106-1346 |2 vQ 0 0 3 5 Declaration I certify that the thesis I have presented for examination for the MPhil/PhD degree of the London School of Economics and Political Science is solely my own work other than where I have clearly indicated that it is the work of others (in which case the extent of any work carried out jointly by me and any other person is clearly identified in it). The copyright of this thesis rests with the author. Quotation from it is permitted, provided that full acknowledgement is made. This thesis may not be reproduced without the prior written consent of the author. I warrant that this authorization does not, to the best of my belief, infringe the rights of any third party. 2 Abstract This thesis is about the men who participate in the state-licensed opium poppy husk business in the North Indian state of Rajasthan. By depicting the interactions amongst poppy husk traders, as well as the interactions between traders and regulatory officials, this thesis describes the composition of the poppy husk trading community, explains their distinctive methods of managing the risk of their work’s extra-legal and illegal aspects, identifies characteristics that differentiate this commercial community from others, and delineates traders’ position amongst the middle classes of Rajasthan and India. Poppy husk traders resemble other upwardly mobile middle class Indian businessmen in their business organization and in their lives. Traders are, however, generally thought of and treated as something different and dangerous by Rajasthanis, State officials and legislators. This differentiation is rooted in powerful popular views of opium as a beneficial tradition, as a legendary source of wealth, and as a cause of corruption and violence. These views of opiate wealth and corruption are tied to expectations that the State should be accountable to the public, which are related to popular prescriptive beliefs about the legitimate use of violence and the acquisition of status and wealth. Such beliefs also explain traders’ shared perceptions, justifications, and leadership strategies in the face of the high risks and opportunities associated with their various legal, illegal and extra-legal business structures and practices. In analysing State regulation and popular perceptions of corruption, this study contributes to scholarly debates on how Indians view and interact with “the State”, and to debates about the relationship between society, the State, informal economic activities, and social mobility. Through these contributions, this thesis strengthens the understanding of collaboration in high-risk commercial environments by providing a robust alternative to common but fallacious explanations based on generalized notions of trust and kinship. 3 Acknowledgements I owe a debt of gratitude to more people than I can thank here, and to more than can be safely named. My supervisors, Professor Parry and Professor Fuller had the patience, kindness and insight to repeatedly ask questions and give suggestions that always pointed me in more productive directions. Professor Harriss, a supervisor from my first year through my fieldwork, provided me with equally helpful advice during this time. Professor Tulsi Patel at the Delhi School of Economics was most kind in supporting my affiliation and in giving her supportive advice and laughter. The London School of Economics provided partial funding for my research with successive Research Scholarships. All of my fellow-students in the LSE Department of Anthropology and elsewhere were very supportive, and I benefited from the frequent exchange of ideas about our research topics and everything else. To thank them individually would be a story unto itself. In Delhi, I am indebted to GS and family, MK-K and family; in Punjab to people who would prefer to remain nameless. Doubtless many helpful people in public positions in Rajasthan would also prefer to remain un-named and to be thanked in person. My informants and friends in the poppy husk trade and outside were incredibly hospitable, helpful and humorous. I hope that they will forgive possible misinterpretations with as much good grace, and give me the opportunity to right them. I cannot thank them enough: my research would have been impossible without them. In writing this thesis and clarifying my ideas, I have especially benefited from Nicolas Martin’s critical insights and comparisons, and from Anastasia and Jon Norton- Piliavskis’ critical hilarity. The forbearance, funding and support from my parents was as indispensable as their questions were appreciated. My friends and family in general have been most kind to tolerate years of obsessive focus on India, Rajasthan and the opiate trade. Any errors in this thesis are my own. 4 Table of Contents THESIS INTRODUCTION .....................................................................................................................................................9 Introduction ...........................................................................................................................................................................9 The historical opium tr ad e , regulation an d consumption ..........................................................................11 M ethodology , obstacles a n d et h ic s ....................................................................................................................... 18 Difficulties and Adjustments..........................................................................................................................18 Research methods and ethics .........................................................................................................................19 Sum m a ry of Ch apt er s ...................................................................................................................................................... 23 Context w ithin anthropology a n d social th eo ry ...........................................................................................26 CHAPTER ONE: THE STRUCTURE OF THE POPPY HUSK TRADE: LEGAL LICENSING, ILLEGALITY AND RISK MANAGEMENT ............................................................................................................... 31 Introduction .........................................................................................................................................................................31 1.2: The poppy h usk license auction .......................................................................................................................... 33 1.3: Retail conditions a n d the legal structure of risk a n d opportunity ...........................................38 1.3a Comparison with illegality in liquor and agricultural commodities trading..................................42 1.4 POST-AUCTION CHANGES, RISK LIMITATION & BIDDING STRUCTURE.............................................................. 44 1.4a License bidders’ anonymity allows post-auction shifts in control ................................................... 46 1.4b The role of local power in reducing risk: the limits of cartelization ................................................48 1.4c Managing risk from clashes of agricultural, regulatory, and demand cycles.................................50 L4d Companies and syndicates ’ structures and conditions o f traders ’ daily office lives ......................54 Chapter One Co n c l u s io n ............................................................................................. 57 CHAPTER TWO: PUBLIC PERCEPTIONS OF POPPY HUSK TRADERS, OPIATE TRAFFICKERS AND THE STATE: CONDEMNATION AND ACCUSATIONS OF CONSPIRATORIAL AND VIOLENT CORRUPTION ...........................................................................................66 2.2: Popular view s of opium a n d their relationship to poppy h u s k ......................................................... 71 2.2a Views of traffickers as violent “badmashes ” and contrasting views of traders ..............................77 2.2b Movements and objections to traffickers and traders: court cases and criticism ..........................81 2.2c Summary of popular views of the Indian opiate industry...................................... 93 2.3 B r ibes : tr a d er s ’ limited control of policy a n d implementation .....................................................93 2.3 a Limited influence of the revenue conflict of interest and bribery funds...................................