Vol. 17, Part I · pages 421–425

396 DR. BABASAHEB AMBEDKAR : WRITINGS AND SPEECHES 26. On the Kashmir issue, the policy adopted by the Congress Government is not acceptable to the Scheduled Castes Federation. This policy if continued will lead to a perpetual enmity betwen India and Pakistan, and the possibility of war between the two countries. The Scheduled Castes Federation believes that it is essential for the good of both countries that they should be good and friendly neighbours. For this purpose the proper policy to adopt towards Pakistan should be based upon two considerations. (1) There should be no talk about the annulment of the partition of India. Partition should be accepted as a settled fact not to be reopened and that the two countries to continue as two separate sovereign States. (2) That, Kashmir to be partitioned– the Muslim area to go to Pakistan (subject to the wishes of the Kashmiries living in the Valley) and the non-Muslim area consisting of Jammu and Ladhak to come to India. 27. This policy has the best chance of producing friendly relations between the two countries, and the Scheduled Castes Federation will press for its acceptance. 28. The other centre of our foreign policy which has made other nations our enemies is China. India is made to fight her battle for entry in the United Nations Organisation as a permanent member thereof. This is an extraordinary thing. Why should India fight the battle of China when China is quite capable of fighting her own battle? This championing of the cause of Communist China by India has been responsible for the prevailing antagonism between India and America with the result that it has become impossible for India to obtain financial and technical aid from America. 29. We refused Dominion Status. We became an Independent Country. Subsequently we agreed to remain in the British Commonwealth– and yet out relations with the other countries is not at friendly. 30. In our foreign policy we have not been able to make a distinction beetween Capitalism and Parliamentary Democracy. The dislike of Capitalism is understandable. But we take care that

397SCHEDULED CASTES’................MANIFESTO— we do not weaken Parliamentary Democracy and help Dictatorship to grow. It would be like throwing the baby out of the bath but in emptying it of dirty water. 31. India’s first duty should be to herself. Instead of fighting to make Communist China a permanent member of the U. N. O. India should fight for getting herself recognised as the permanent member of the U. N. O. Instead of doing this, India is spending herself in fighting the battle of Mao as against Chaingkai Shek. This quixotic policy of saving the world is going to bring about the ruination of India and the sooner this suicidal foreign policy is reversed the better for India. Before championing the cause of Asiatic countries, India must strive every nerve, must seek every aid to make herself strong. Then only will her voice be effective. This will be the line of Foreign Policy that the Scheduled Castes Federation will pursue. III. Question of Resources : 33. Programme is not a mere matter of words or ideas. If it is to be put into action, it is necessary to find the necessary finance. Nobody will take a Party’s programme seriously unless and until the Party is able to show how it is going to foot the bill. 34. Although the amount required for the programme set out by the Federation is by no means small, the financial problem is not unmanagable. The Scheduled Castes Federation suggests the following ways of raising finances for the development of the country :- (i) Reduction of Expenditure over the Army. (ii) Re-levy of the Salt tax. (iii) Abolition of prohibition and the saving of Excise Revenue, (iv) Nationalisation of Insurance. 35. The total revenues of the Government of India are about Rs. 350 crores out of this the Army is eating up more than 50 per cent of the Revenues or nearly Rs. 180 crores per annum. This is a colossal expenditure on defence in a country where people are dying of starvation. On the basis of the settlement of the Kashmir issue in the way suggested in the Manifesto and the change in the

398 DR. BABASAHEB AMBEDKAR : WRITINGS AND SPEECHES foreign policy and creation of friendly relations with other foreign nations, there should be no risk in reducing the defence expenditure by Rs. 50 crores per year. 36. There is no reason why the levy of the Salt tax should not be resumed. The giving up of the levy of the Salt tax was a concession to mere sentiment. It has not made Salt cheap. Instead salt has become very dear. The only thing that has happened is that the State has lost a valuable source of revenue which used to produce Rs. 11 crores of revenue per year and which has seriously handicapped the State in advancing the development of the country. The incident of the tax on the people will be nothing even if it is levied at a rate which will produce Rs. 30 crores per year. 37. Prohibition is sheer madness. Its progress must not only be arrested but it must be immediately abolished. It has produced more evils than those it was intended to stop. Manufacture of liquor has become a cottage industry. Formerly only men drank liquor. Now women and children also drink because liquor is manufactured in every home in the presence of women and children. It has produced more crime and worst soil of demoralisation of the lower classes. 38. From the point of view of conserving the resources of the State it is a huge waste. The excise revenue of Part ‘A’ States in 1945-46 was Rs. 51.67 crores. In 1950-51, it was 25.23 crores. The Budget estimates for 1951-52 is 24.95 crores. The figures for 1945-46 includes the prepartitioned Punjab and Bengal. Nevertheless, broadly the statement can be made that the loss on account of prohibition in part ‘A’ States is of the order of Rs. 25 crores a year. This does not, however, take into account the possible rise in excise revenue that might have taken place in the absence of prohibition. 39. For Bombay, excise revenue in 1946-47 was Rs. 9.74 crores. In 1950-51, it was 1.20 crores and the budget estimates for 1951-52 is 1.05 crores. The loss in excise revenue thus works out of about Rs. 8.7 crores a year.

399SCHEDULED CASTES’................MANIFESTO— 40. The excise revenue in Madras was Rs. 16.80 crores in 1945-46. It declined to .50 crores in 1950-51. For 1951-52 the budget estimate is .36 crores. The loss in excise revenue in consequence of prohibition thus works out at Rs. 16 crores. 41. In the U. P. excise revenue in 1947-48 was Rs. 7.06 crores. For 1950-51, it was Rs. 5.93 crores and the budget estimate for 1951-52 is Rs. 5.84 crores. The loss thus works out at Rs. 1.2 crores. 42. The excise revenue in Madhya Pradesh, Punjab and Bengal also shows some fall. 43. The loss in excise revenue for Bombay and Madras alone works out at almost Rs. 25 crores which is also the approximate decline in the excise revenue in part ‘A’ States taken together. 44. These figures are incomplete. They do not contain any data for part ‘B’ States. For they are not available. They also do not contain any data if the expenditure on enforcement in consequence of the adoption of the policy of prohibition. 45. From the point of equity, there is no justification for prohibition. The cost of prohibition is borne by the general public. Why should the general public be made to pay the cost of reforming a lakh or two of habitual drunkards who could never be reformed ? Why should the general public be made to pay the cost of prohibition when the other wants of the public such as eduction, housing and health are crying for remedy? Why not use the money for development plans? Who has greater priority, the Drunkard or the Hungry ? There are pertinent questions to which there is no answer except arrogance and obstinacy. Whatever happens, the policy of prohibition must be reversed and this colossal waste of public money should be put a stop to and the resources utilised for advancing general welfare.

400 DR. BABASAHEB AMBEDKAR : WRITINGS AND SPEECHES 46. As regards nationalization of Insurance it is the most profitable source of money as the following figures show :– Total number of Insurers registered in 1950 under the Insurance Act 339 Total number of Life Insurance Policies effected in 1949 33,03,000 Sum Insured 7,39,49,00,000 Annual Income by way of Premium 37,18,00,000 Total Invested in Government Securities as required 8,64,16,000 Expenses of Management 29.2 per cent of the premium income. 47. From these figures it will be seen that the total money in the hands of the Life Insurance Companies per annum is 37 crores. Unlike Bank deposits they are not demand deposits. Not being demand deposits they can be easily invested in long term development projects. It is true that Insurance Companies invest their monies in Government Securities so that it may be said that in the last resort it is the Government which gets the Insurane money. But this is no answer to nationalization of Insurance. For the amount invested in Government Securities is very small, 9 crores out of 37 crores. Secondly, Government has to pay interest on these securities which is a needless burden on the tax-payer. Thirdly, Insurance Companies eat up annually 29 p.c. of the income from premium which came to 11 crores out of 37 crores for the year 1949. This is intolerable waste of money. All this could be stopped by nationalization. 48. The Scheduled Castes Federation will not only press for nationalization of Insurance ; it will make Insurance compulsory for all State and Private Employees. Compulsory Insurance will give security to the individual and funds for the Government for further development.