Photo Credit: 3pom (flickr)

Technological advances have significantly impacted India's recent growth. But one technology may be causing more harm than good.

India is experiencing an alarming rise in sex-selective abortions. As the middle class has grown, more pregnant women are able to afford ultrasounds. One result is that many couples are choosing to abort female fetuses. Traditionally, boys are preferred over girls — they carry on the family name, can more easily find paid work, and don’t require expensive dowries. Even though India is becoming increasingly modernized, these traditional values remain intact.

The numbers tell the story: In 1981, India had 962 girls for every 1,000 boys. In the 2001 census, the ratio was 927 to 1,000. Indian Prime Minister Manmohan Singh recently called the problem a "national shame."

Indian society is starting to experience the repercussions. With fewer available women to marry, some Indian men are resorting to buying their brides from poor communities outside their own, the BBC reports.

Photo: greenhem (flickr)

Plastic bags have long been associated with litter and waste. The world uses tens of billions of plastic bags every year – bags that end up hanging from trees, traveling along freeways, escaping garbage cans and waste dumps.

Plastic-bag recycling rates are extremely low – about 1 to 3 percent worldwide, according to Reusablebags.com.

While plastics have helped us in many ways – medical advances, for one – by now we are seeing an increasing amount of wasteful uses. The mass production and ubiquitousness of plastic bags has hit a nerve in many developing countries. Lawmaking bodies in every region of the world have begun to regulate the use of plastics — and some are even banning the use of plastic bags outright.

Here's a partial list:

India. In August 2005, the state of Maharashtra initiated a bag ban after bags "blocked sewage and drainage systems during record monsoon rains," according to The Guardian. "Flooding and landslides killed more than 1,000 people in the state.” Anyone seen with a plastic bag can be fined 1,000 rupees, or about $25.

Kenya. The East African nation has enforced new regulations banning production and distribution of light-density bags, according to Nairobi's Business Daily (as reported by allAfrica.com). Three years ago, Kenyan researchers had appealed for a ban, and Nobel Peace Prize winner Wangari Maathai had argued that plastic bags can lead to malaria, because discarded bags left outside can fill with rainwater and breed disease-carrying mosquitoes.

Uganda and Tanzania. Kenya's neighbors also banned the use of all disposable one-use plastic bags nationwide. One Ugandan blogger wrote that “This seemingly radical step has a direct connection to human health and also to environmental well-being of citizens across Africa. Apart from the fossil fuel usage needed in their production, plastic bags have a remarkable ability to pollute across borders.”

China. Authorities announced that by this June, one-use plastic bags will be outlawed in the hope that residents will return to their old habit of using cloth bags and baskets. "Beijing residents appeared to take the ban in stride, reflecting rising environmental consciousness and concern over skyrocketing oil prices," reports National Geographic.

Some developed nations also have taken drastic steps to reduce the impact of plastics. Ireland, for example, imposed a 33-cent tax in 2002. It worked quickly to depress demand. According to the New York Times, the use of plastic bags dropped 94 percent within weeks.

To some the word "immigration" evokes an image of people standing in line at Western Union, waiting to wire money home to families for groceries and clothing. It happens thousands of times each day all over the world. All those remittances — the small amounts of cash wired across borders — add up to a whopping $300 billion a year.

Dilip Ratha believes this $300-billion industry can play an important role in international development. He's a World Bank employee who is working to make it easier for migrants to transfer money and direct the cost savings towards economic development in their own countries.

Skeptics argue that if remittances equaled development, Mexico would look like Switzerland. Ratha might argue that without remittances, Mexico's economy might look a whole lot worse. His new paper suggests that Africa could add as much as $3 billion to public coffers just by reducing the costs that migrants pay to send remittances. (Currently, charges on these cross-border money transfers can be as high as 10 percent.)

Ratha hopes to prove that hundreds of billions of remittance dollars can be funneled toward poverty alleviation by making simple policy changes.

His personal story has shaped his beliefs. In the U.S., he earns a salary that is 100 times what he could have earned in his birthplace of India, and his own remittances have helped build schools and pay medical bills there.

And while the negative impacts of immigration often make headlines, Ratha stresses that there are costs of not immigrating, too — costs borne by people living in poverty and by everyone in the global economy.

Photo: Thatcher Cook for Mercy Corps

Will America's economic troubles spill over to South Asian markets?

India, because of its close economic ties to the U.S., could get caught up in the downdraft. Rising inflation rates are causing the country's conservative commercial bankers to squirm in a country usually considered the poster child for modernization. India ships more of its goods to the U.S. than to any other country — so if Americans curtail their spending in an economic slowdown, Indian businesses could lose big.

How can India maintain its high rate of economic growth despite the U.S. slowdown?

The Brookings Institute calls for India’s government to economically reform by addressing its major inefficiencies in connecting the rural poor with the mainstream economies. BusinessWeek points out the need for reforms in agriculture, infrastructure, health care and education. But it adds that reform "is the last thing" on the mind of India's ruling Congress Party.

Photo: C Mulvany (flickr)

In the global rush towards biofuels, some countries are being forced to choose between affordable food and renewable energy. Many poor nations cannot afford to use staple crops like corn or soybeans as fuel. But some scientists and policymakers believe that they may have found a solution: jatropha.

Jatropha is an inedible nut that can be grown on non-arable land with little water or maintenance, and it's increasingly being identified as a possible alternative source for biofuels. Because its production would not take up valuable farmland, and would have little (if any) impact on food prices, jatropha is particularly attractive to developing countries seeking a balance between increasing energy demand and poverty alleviation.

India is currently trying to launch what would be the world’s largest jatropha biofuels project to date. Its Ministry of Rural Development has proposed a five-year, $375-million project to plant over one million acres of jatropha and research its potential as a fuel source. India is far from alone in its efforts to promote jatropha. Last year, British Petroleum signed a $160-million deal with a British biofuels firm to develop a joint venture in jatropha. A number of countries are pursuing their own jatropha projects, including South Africa, Malaysia, Brazil, Mali and others.

The BBC takes a look at the contrast between India's high rate of economic growth and the widespread poverty that continues to plague the country. Though India has become a major global player in information technology, some are worried this high-tech development will only lead to "silicon bubbles" that do little to improve conditions for the Indian poor. Anand Mahindra, managing director of one of India's largest conglomerates, disagrees:

"The IT sector was a kicker to growth," he says. "Its impact was psychological. It signalled to the world that India was much more than its old historical stereotypes. It suddenly in an exaggerated manner, if you ask me, made the world think that every Indian was smart and could fix their computers. But that helped entrepreneurs in India from all industry segments, because it gave them a more receptive environment in which to do business."

What does it take to combat the barriers to education that exist for some people? A school in India run by the Arundohaya organization is aiming to find out and to overcome them, according to The Independent.

By setting up self-help groups, providing training in such skills as sewing and tailoring and helping organise micro-credit schemes, Arundohaya is able to help families provide an alternative income that allows them to send their children to school.

In a land where three farmers commit suicide per day, microfinance is making positive difference in Vidarbha- India's primary cotton growing region. Over 500,000 female small entrepreneurs there are determined to lift their families from the burden of debt by forming microfinance groups and finding alternative ways to make an income.

The micro credit banks urges them to save with them, with each member depositing money, ranging from 50 rupees to 1,000 rupees every month. The bank in turn provides credit to the group, whose members borrow money from the group depending on their needs.

Thatcher Cook for Mercy Corps

The New York Times reported yesterday on India's primary school shortage. Recent changes to admissions rules intended to be more fair and transparent, are giving parents anxiety attacks as they try and secure placement in a reputable school for their prekindergarten-aged children.

Today Business Week takes a look at Toyota and corporate responsibility:

Harish, who comes from a family that lives below the poverty line of $177 in annual income, was a good student but had no particular ambition. Then, last April, his schoolteacher alerted him to an advertisement by Toyota in the local paper. The automaker was inviting applications from 17-year-old, poor and needy students for factory training. It was offering free board, lodging, and education, plus a monthly stipend of $38. There were 5,000 applicants, and Harish was one of 64 boys from the southern state of Karnataka who made it to Toyota Tech, the training institute that opened last August as Toyota's first outside of Japan.

He now wants to be an automotive engineer. "I am so happy and can't believe," says Harish in his broken English about how his life and dreams have changed. They sure have. His mother and grandmother earn 65¢ daily as farm laborers, a brother is a bus cleaner, and a sister is training to be a nurse. But Harish is determined to change his life thanks to Toyota. In the three months he has been at the institute, he has saved $8 to give to his mother. "I want to make her proud," he says, outlining his determination to excel in his three-year course and bag the $180 and $230 fellowships for assiduous students.

The BBC reports that the Chinese toy scare of 2007 has led to an export boom for India's traditional wooden toy makers.

The Economist recently took a look at how the process of recycling is helping to sustain one community in India. The dalits, a lower caste of Hindu, are participating in an economy that not only provides them with income, but helps to reuse some of India's waste.

Disposable plastic cups are many times reborn in Dharavi. In a spiralling continuum, they are discarded and gathered in, melted down to their polypropylene essence, and re-moulded in some new plastic form. Recycling is one of the slum's biggest industries. Thousands of tonnes of scrap plastic, metals, paper, cotton, soap and glass revolve through Dharavi each day.

Photo: Tahir Hashmi (flickr)

The world’s cheapest car has just been rolled onto the showroom floor in India. Known informally as the People's Car, Indian automaker Tata Motors stated that its goal was to give access to people who otherwise could only afford to drive scooters by selling a car that cost only $2,500, reports Nation Public Radio.

"I observed families riding on two-wheelers — the father driving the scooter, his young kid standing in front of him, his wife seated behind him holding a little baby. It led me to wonder whether one could conceive of a safe, affordable, all-weather form of transport for such a family," Company Chairman, Ratan N. Tata said.”

The car is said to meet all safety and environmental requirements for India, with reasonably low emissions and a solid gas mileage of 50mpg. However, an October report by The New York Times cites worries about the safety and environmental implications of a car with no airbags that will be accessible to millions of first-time drivers. Pollution and traffic are already big issues in the country, where “nearly 60 percent of India’s cities have pollution levels that are considered critical.”
Is it possible to create an ultra-cheap green car, one that will meet the strictest fuel emission standards with the potential to actually reduce pollution levels?

A great piece in the Economist on the slums of Mumbai.

For a decade, the state government has tried coaxing the slum-dwellers to let it bulldoze their hutments and build high-rise apartments instead. Each dispossessed family is entitled to a flat of 225 square feet. After 30 years, they will be allowed to sell it. But only a few have accepted this offer. So now the government is trying to enforce it. In August it put the bulldozing and redevelopment of Dharavi, in six parcels, out to tender. The work was due to begin this year. But it has been stalled by bad press nationally and local protests, organised by Mr Korde.

For small businessmen like him, the redevelopment plan is a nightmare. The slum's hutment factories, havens from tax and regulation, would be destroyed. In their place would be purpose-built workshops, for rent at commercial rates. “I will be finished,” says Mr Khan, the scholarly looking tailor. For poorer residents, like Ms Ishwar, the widow living in rubbish-blown misery, the story would be different. Her new apartment, unlike her current hovel, would be fit for human habitation. If she, or rather her relatives, sold it, they would be rich. Either way, Mr Korde admits, the scheme will eventually happen.