Letters to the editor dated Feb 18, 2020

Apropos ‘US-India trade deal, a threat to dairy sector’ (February 18). It is an interesting narrative supported by data that indicates exports of Indian dairy products exceeds imports from the US, which is a positive trend. However, with the recent Union Budget allocating larger funds for the dairy sector, efforts must be made to strengthen the small and medium farmers in availing the benefits to produce quality dairy products. The government must entrust gram panchayats with popularising schemes for the dairy sector so that small producers focus on quality, which is the basis for higher price realisation, larger exports and financial freedom.

Hassan, Karnataka

This refers to ‘RBI’s long-term repo operation gets ‘overwhelming’ response’ (February 18). The innovative long-term repo operation (LTRO) of the banking regulator to ease the transmission of the monetary policy rates, for which banks bid a massive ₹1,94,414 crore against the notified amount of ₹25,000 crore, denotes that banks prefer to mobilise resources at a lesser cost from a single point rather mobilise low-cost deposits from the public. This will adversely affect the growth of deposits, and the supply of resources by the RBI to lend and invest will have a negative impact on financial intermediation by banks.

In order to ease the flow of bank credit at lesser costs to the investment-intensive sectors, the RBI is injecting the liquidity into the system. However, the excessive supply of credit from the banks is fraught with the danger of an NPA pile-up. This will certainly not enhance the GDP, and the likelihood of a rise in prices can’t be ruled out. The supply-side issues need to be addressed to contain the rising prices and measures need to be executed for job creation and improving the standard of living.

Kottayam

This refers to ‘Ahead of RS elections, infighting breaks out in Cong’ (February 18). The news that intense infighting has started within the Congress, that too over the limited number of Rajya Sabha seats available from the States ruled by the party or its allies, does not augur well for the political future of the party. A number of leaders belonging to the concerned States have already started positioning themselves for the ensuing elections to the Upper House. However, it also goes without saying that it may not be a cake-walk for Sonia owing to the ongoing infighting within the party.

Mind you, all does not appear to be well between the Madhya Pradesh CM Kamal Nath and Jyotiraditya Scindia. While Scindia, once very close to Rahul Gandhi, considers himself to be one of the most deserving candidates, Kamal Nath and other party leaders have openly demanded that Priyanka Gandhi Vadra be sent to the Rajya Sabha from the State. In any case, the BJP is highly likely to further improve its position during these elections.

Panchkula (Haryana)

The video of Delhi Police entering the library of Jamia Millia Islamia University in Delhi and thrashing unarmed students has not only shown them in bad light but also underscored the very imperative need to conduct an impartial probe and punish the guilty without any delay. The alleged excesses of Delhi Police and its evident impunity seem enabled by a larger framework in which not only is the right of citizens to protest being viewed with suspicion, but the protesters are also labelled anti-nationals. The emergence of such a framework does not augur well for our pluralistic democracy.

The Prime Minister’s assertion that his government cannot go back on its decisions on the CAA and Article 370 need to be juxtaposed with an another assertion by Justice DY Chandrachud: “A state committed to the rule of law ensures that state apparatus is not employed to curb peaceful and legitimate protests but to create conducive spaces conducive for deliberation.” Using force to quell dissent will only weaken our cherished credentials as a deliberative democracy.

Sholavandan, TN

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