20th ANNIVERSARY CELEBRATIONS-MARCH 2003

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COMMENTS

Bhairon Singh Shekhawat

R. Desikan

Jyoti Parikh

Jagdish Bhagwati

Arvind Panagariya

Surendra U. Kanstiya

Anders Ahnlid

Ajay Kumar

R.L. Tiwari

John Burton

Jagat S. Mehta

Ashok Mehta

James X. Zhan

Jairam Ramesh

Indranil Banerjie

Pamela W.S. CHAN

Rahul Bajaj

Subir Gokarn

 

Until Now!

When I sat down to hit the keyboard to write out the prologue of the Souvenir of “Two Decades of CUTS”, I found myself shaking with emotion and nostalgia. A first of its type of publication, which CUTS is producing to capture bouquets and few brickbats from many persons who have known us for a long time. Some of them are very generous and will encourage us to do more, and better, than what we have done until now.

One man show?
For long, CUTS name has been closely associated with my name, as indeed many such organisations are. One cannot divorce the image of the person with the organisation that he has worked for and built up over twenty years, as its founder and leader. Thus, many of the messages in this souvenir do mention me by name, which is but natural and unavoidable. I seek the reader’s pardon for this constant mention of my name in most of the messages. But, here one of my long time comrades-in-arms: R. L. Tiwari has rightly challenged the bogey of CUTS being a one-man show (pg 47). He does not believe it is a one-man show.

In fact, we are now nearly 100 people spread out over six centres in India and three overseas. For many years, people did have this valid criticism, because I was the only permanent employee, with many coming and going for various reasons. Now, down to the memory lane.

Though we started in 1984, we began employing staff only from 1988/89 when we had some funding. Until then we relied upon an excellent set of volunteers, who contributed their money, time, energy and skills without a penny of remuneration. Much of our work was litigating on consumer and human rights issues, where many sympathetic judges too helped. Much of the court work was done by me myself, though I was never trained as a lawyer.

Consumer action: the raison dé être
We were responsible for getting the new Consumer Protection Act in 1986, which we used quite actively. We filed the first complaint before the National Commission, the Rajasthan and the West Bengal State Commissions, thus ‘inaugurating’ them. We also used the High Courts in Jaipur and Calcutta by filing a series of public interest cases. Further, CUTS also filed several cases before the Monopolies & Restrictive Trade Practices Commission. All this gave us a huge publicity, and built up our image as intrepid consumer crusaders.

In this effort, one person who stands out is Naresh Sahai Mathur, Advocate, Supreme Court of India, who looked after most of our litigation work at New Delhi pro bono. He fought shoulder to shoulder with us, with full support of his wife Antonella. Another name which stands out is that of N. P. Jain, Income Tax Advocate of Calcutta who worked hard in our advocacy work in our initial years, again pro bono. I owe both of them the most gratitude in helping establish CUTS.

Many many friends in the press too helped us a huge amount, by filing stories in their journals and helping us with contacts. One person: Umesh Anand, then senior assistant editor at The Economic Times, too stands out, as having made me a very popular consumer columnist in the early 1990s. All that helped CUTS to reach out to a large number of people throughout the country, and abroad.

In 1991, The New York Times reported about CUTS in Calcutta: “The power situation is part of the overall insouciance and utter callousness of the administration, said Pradeep S. Mehta, founder of the 8-year old Consumer Unity & Trust Society, a pioneer in consumer-rights advocacy here and in other Indian cities”.

Diversification and expansion
Many people have often asked about our diversification and expansion both on issues as well as territorially. We started as a regular consumer protection group and continued to do so for long.

In 1991, when we asked HIVOS to support some of our rural consumer work, they did so and we launched the first specialised centre of CUTS at Chittorgarh in South West Rajasthan, where I had some vacant ancestral property. Its use was handed over to CUTS. It was aptly named after my late grandfather: the Nawal Singh Mehta CUTS Centre for Human Development. Over time the Centre worked on several issues of the rural poor, and fine tuned its focus on women, as the more deprived section of the society. This led to expansion of many new areas, including working with children as well.

In the same year, 1991, I attended the 13th World Congress of the International Organisation of Consumer Unions (now Consumers International) when I was exposed to international trade issues which were being negotiated under aegis of the GATT, and more popularly known as the Uruguay Round (UR). In fact I reported for The Economic Times in India from the Congress and thus gained a better insight into what was happening. However, most of the issues relating to the UR were dominated by northern consumer organisations, while those of us from the South just gaped in awe at the length and breadth of the issues.

This led to a beginning of our work on WTO issues, with the first achievement being the launch of the South Asia Watch on Trade, Economics & Environment in 1994. Subsequently SAWTEE was moved to Kathmandu with an independent secretariat, while CUTS launched its second specialised centre in 1996: CUTS Centre for International Trade, Economics & Environment with Professor Jagdish Bhagwati of Columbia University as the chairman of its first advisory board.

At the same time, through various interactions with African groups, especially during the UNCTAD IX at Midrand, South Africa, the Africa Resource Centre was conceived as a resource centre to promote South-South Civil Society cooperation. Thus the third centre was established in 2000 in Lusaka. That was also our first step outside India.

In the meanwhile, the head office of CUTS returned to Jaipur in 1997, when it was decided to shift CITEE to Jaipur as well. The Calcutta office then became the CUTS Centre for Sustainable Consumption & Production, to consolidate our work in the area of ecolabelling and environmentally friendly technologies.

Over time, the Nairobi Centre was conceived to promote work in East Africa, and that Nairobi was the gateway to Africa, as most of the international organisations were located there; mainly United Nations Environment Programme. It was then decided that the Lusaka centre will focus and expand its activities in Southern Africa.

In the meanwhile, deepening engagement with Northern civil society groups led to the establishment of the London Resource Centre to promote better South-North dialogue. On conclusion of the mammoth project on competition regimes of seven developing countries, popularly called 7-Up, in January/February, 2003, the CITEE was split into two. A new Centre on Competition, Investment and Economic Regulation was set up to pursue dream projects on competition and regulation. Professor Frederic Jenny of France is the first chairman of its advisory committee.

No impact without professionalism
All this huge expansion took place on the basis of demands from our constituencies. Handling such a huge agenda was not possible without professionalisation. Going back to history, there were countless people, who continued to help CUTS by believing in our cause and volunteering their time without any remuneration. For reasons of space, it is not possible to name them all.

I too remained a volunteer until 1990, when I gave up a lucrative business career to devote myself fully to CUTS. I realised that it is not possible to create any impact unless one is professional. Following that decision, we started raising money and hiring staff to run programmes.

But it was a very difficult task, because one had to go to donors with hardly any track record but just the desire, passion and ideas. One did not even have any patrons, so we started small as our financial graph will show. Our executive committee members were normal people, none were great names, which often sells an organisation faster. Fund raising was also quite humiliating dealing with the arrogant staff of donors, who revelled in their power seeing us grovel for money.

Foreign funding, and its problems
Anyway, we succeeded with some donors (and their compassionate and professional staff), who thought that our plans were good and we will be able to deliver the goods. But it was often a chicken-and-egg situation. We did not have enough money to pay well, and we could hire just anybody at low salaries. Thus they did not work well, or could not express their achievements well. So donors would find faults with our work which skewed future funding.

In a situation, one particular donor staff member spoke negatively to another and I had to fight dourly to convince them to support us. Finally, we succeeded. Thank god, it was not a government agency, which would have otherwise got stuck with a negative reference and our fate would have been sealed.

But relying on foreign funding is the bane of all NGOs in developing countries, and often many feel that we will then sing their tune. For example, writes Bharat Jhunjhunwala (pg 65), a respected economic commentator: “One of the most crucial challenges that CUTS will face in future, is to be relevant and not be classified as an extension of foreign donors”.

The empire strikes
This comment by Bharat is something that we faced in dealing with a bureaucrat in New Delhi. Because we had a different view on a subject than that of the Government of India, he went to the extent of vilifying us in official files that because of a particular grant, we hold and advocate a different view. He is a myopic uncivil servant, who believes that he knows best and that any dissenting views coming from an Indian NGO should not exist at all. There is something perversely Brahminical in all this. We continue to face problems with the particular ministry, though most of their other civil servants do not hold the same harsh view. We do hope that over time people will see some sense and reflect that diversity of views is what enriches the intellectual space in this civil world.

In principle, I do not find it objectionable to take assistance from foreign donors; after all there is a genuine desire of rich governments to assist the developing country governments and their civil society to help make the world a better place to live in. Indeed, one should be careful of maintaining independence. In one case, we wished good bye to a particular donor, when we felt that our independence is likely to be compromised.

In India, charity is quite large, but people donate for religious or educational or relief efforts. They do not appreciate that efforts for better governance can yield very good fundamental results. Further, the issue of overseas development assistance has been on the international agenda for a long time, as a bone of contention. Commitments made by the rich countries to fork out 0.7% of their GNP as ODA has never been met, and the South makes it an issue at every international meeting. But that is not the issue, which I am addressing here.

Gita, my guide
Money is something that everyone needs, but for the first 6-7 years of CUTS, I worked as a volunteer. I did not draw any salary (unlike many of my colleagues in the NGO sector) for a long time and depended upon my family business. This too was not a happy thing, as they would curse me for blowing up the hard earned money. Indranil Banerjie, then with India Today and a close friend, is a witness to this period of mine and CUTS life (pg 67). He writes: “Pradeep had to plough the lonely furrow. Virtually all of CUTS funds in those years came from his business earnings. Where he did succeed was in his ability to rope in other people to work as volunteers. Over the years, he has perhaps replicated this on a much larger scale”.

If I had not devoted my life, skills and energy, CUTS would not have travelled so far. The same applies to many similar successful NGOs, such as the Centre for Science and Environment, New Delhi. However, when we started raising money successfully and achieved a reasonable size, then my family started recognising the worth, and hence my total involvement with CUTS. My wife, Aruna, stood by me all the way, in spite of our quarrels and perennial shortage of money. My mission was important to me and her, and she firmly believed in it.

The motive behind doing this, was that people who can work for the society, should do, and it is the society, which has made me what I am. Secondly, I come from a reasonably well-off family and in the worst situation would never have suffered penury. Therefore it was my duty to work for the society as a public citizen and to make the world a better place to live in.

“Pradeep recognised that the democratic system of government places obligations on all citizens to contribute in diverse ways to strengthen the working of the system to optimise welfare of the people: it cannot all be left to the government or the state…. This we all assume but some people like Pradeep, who work as pro bono publico redeem this duty” wrote Jagat S. Mehta, former Foreign Secretary of India, in his message to this souvenir (pg 8).

Often things used to get skewed, because in consumer activism, one makes enemies. In action, one also has to face physical threats, lures and other influences. That too was another painful and delightful experience, a sort of acid test of one’s character. In doing this, the holy Indian text: Gita has been my mentor and guide. The central message of Gita is selfless action without fear, and that death is not the end of one’s journey. As a result, we either had a success or a non-success, but no failures. That helped me tremendously in doing what I have been doing since the last twenty years at CUTS. This point is reflected in most of the messages that we have reproduced here.

Recognition from persons in high places
The most encouraging message has come from the Honourable Vice President of India: Shri Bhairon Singh Shekhawat, one of the most popular and capable politicians in Rajasthan. In fact, he was a part of the first ever campaign that CUTS launched when it was formed. CUTS was registered on 11 June, 1984, and a Campaign on Coin Shortage was launched on 18 June, 1984. He was one of the 44 legislators who signed onto a memo to the Reserve Bank of India. The problem was soon resolved.

Ever since then, whether as a Leader of Opposition or Chief Minister of Rajasthan, he has been keeping track of our activities and calling on us to provide him assistance.

Like many others, he too is an admirer of our wall newspaper: Gram Gadar, which also celebrated its 20th anniversary last year. This newspaper is the progenitor of CUTS. “CUTS is one of the very few consumer organisations in the country working from the grass roots to international level”, says Shekhawat in his message (pg 1).

Echoing Shekhawat, former Chief Minister of Rajasthan, Shri Ashok Gehlot (pg 4), states: “A journey of two decades by any organisation, symbolises its work and the public support achieved by it”.

Indeed, we have travelled a huge amount, working incessantly on issues, which relate to the common man and what affects him at the national, regional and international levels. Over the next twenty plus years, we hope to consolidate our work and travel further. Our dream is to become a global standard institution.

Our dream will come true. As UNCTAD Secretary General, Rubens Ricupero (pg 2) writes: “UNCTAD’s longstanding relations with CUTS are for me a great source of satisfaction. Indeed, the international community has much to gain from the interaction between civil society and multilateral institutions”.

One of the three leading intellectual centres in India on international trade

Wishing us another equally glorious 20 years, writes Jagdish Bhagwati (pg 10), the noted trade economist: “CUTS has developed from a modest NGO, addressing mainly domestic issues, to a pre-eminent position as an international NGO, dealing with issues relating to the world trading system and related issues”.

Compliments Muchkund Dubey (pg 13), another former Foreign Secretary of India: “CUTS has emerged as one of the three leading intellectual centres of the country on international trade issues, the other two being …ICRIER and RIS. CUTS, however, has its own distinctive profile by virtue of being basically a civil society organisation. CUTS is able to use the civil society for getting inputs from the micro-level as well as a forum for disseminating its output. This has enabled CUTS to carve out a special niche in the areas of advocacy, training and networking”.

“CUTS has impressed me in terms of its ability to bid for work and deliver a professional output within budget and on time. The output of CUTS (briefing papers, newsletters, studies, training) is prolific. CUTS is unusual as a southern NGO, in its ability to work across continents, thereby building capacity of research and advocacy institutions in other developing countries”, asserts John Burton of DFID, UK. This piece of work led to much greater support from DFID, and has helped us to take a quantum leap in the year 2000.

Why did DFID support CUTS, is reflected by another European government representative, “The characteristics that make CUTS interesting in my view are its constructive and well-reasoned approaches to analyses of development topics and trade-related issues” adds Anders Ahnlid, Deputy Director General (Trade) of the Swedish Foreign Ministry (pg 18).

Liberalisation yes, but with safety nets
It is not only analysis, but transferring the knowledge to others, so that they too become equally good advocates of public interest, has been a major activity. We have created many new NGOs at the grass roots in Asia and Africa and built capacity of several to deal with issues independently. Many of the messages carry this information. One comment gladdens my heart tremendously.

“The programmes organised by CUTS are certainly a ‘cut above the rest’. Whereas other organisations gave me education, CUTS gave me the training; other organisations gave me knowledge, CUTS gave me the wisdom”, says Surendra Kanstiya, former Chairman, Consumer Guidance Society of India, Bombay (pg 39). Surendra too believes in our approach to liberalisation and globalisation, processes which need to be managed and not shunned. That’s what has impressed many.

“What is particularly interesting about CUTS is its approach to liberalisation, which perhaps can best be captured in what appears to be its motto: “Liberalisation yes, but with safety nets”, says Karl Sauvant, Director, Division for Investment, Technology and Enterprise, UNCTAD, Geneva (pg 21).

In terms of future challenges, which will be covered more extensively in the last chapter: “Miles to Go…”, being written by my young and dynamic colleague: Bipul Chatterjee, let me just sample a few quotes from friends who have worked closely with us over the last decade or more.

Most remarkable feature
Allan Asher of Consumers Association, UK feels: “The most remarkable feature of the growth and effectiveness of CUTS is the way in which it has brought a developing country perspective to its work. But, a key challenge for the future is the task of growing large and international gracefully. CUTS needs to find ways of working with other NGO’s (especially international ones) in ways, which carry the development agenda ahead. It must avoid the risks of friction and dissipation of energy through failing to recognise the needs and roles of other groups”.

Adds his colleague and another dear friend, Phil Evans: “I think the key challenge in strengthening research and advocacy is thus much more an issue of recognising the emerging nature of CUTS as the centre of a network, rather than just another NGO working on trade/competition/environment etc”.

Working with policy institutions
However, R. Sudarshan of UNDP, Oslo, who was one of the first funders of CUTS, while he was at The Ford Foundation in New Delhi, adds: “The issues related to globalisation and the WTO are very complex and sophisticated. If CUTS is to be a key actor then it should develop some strong research relationships with universities and policy think tanks”.

In fact, we have one of the most formidable and growing list of policy think tanks and universities as our partners across the world. To name a few: University of Sussex, The World Institute of World Economics, Kiel, Germany abroad; and in India: Jawaharlal Nehru University and Delhi School of Economics. In terms of research institutions, a wide array exists around the world, including National Council of Applied Economic Research in India, with whom we have many joint projects.

Political buy-in, the future challenge
Getting a better political buy in for some of our ideas, has come across from some. In 2001, we have already launched an active contact programme with parliamentarians at Delhi. This was somewhat similar to a programme with legislators in Jaipur, which we had been doing since 1998. We certainly need to accelerate this work. For these reasons, we now have a national advocacy office in New Delhi.

“As far as future challenges are concerned, CUTS could try for more active involvement with the whole class of political executives to inform them of the developments in the world economy with only one slogan in mind: Good Economics is Good Politics”, writes Ajay Kumar of Tata Sons Ltd., Bombay (pg 68), who as a journalist has known CUTS for quite some time.

The last word to Professor Frederic Jenny of Conseil de la Concurrence, Paris: “In the ultimate analysis, CUTS must get the ear of the politicians to foster competition policy. It is listened to but not obeyed by policy makers. Indeed, CUTS has done well to push for competition policy with consumer organisations and competition authorities, but this is not sufficient. It has to think of new strategies to get the political elite involved”.

Our work vertically, begins at the grassroots, transits to national and regional, and ends at international levels. More about it on the last pages. (see About CUTS).

In this souvenir, we have carried mainly messages from people, who have known and interacted with us for a long time. We could not get all such people to write, and hope they will respond after seeing this publication.

I would like to thank all those who have given their contribution, which is very valuable, and will guide us in our future endeavours to make this world a better place to live in.

Pradeep S Mehta
Secretary General

 

 

Bhairon Singh Shekhawat
Vice President of India

Helping Our Rural Folk in a Big Way

I am delighted to note that CUTS is celebrating its 20th Anniversary in the year 2003. My first interaction with CUTS was way back in 1984, when Shri Pradeep Mehta and Shri Tripuresh Sharma came to me with a campaign on the severe coin shortage in the country, asking legislators to sign on. This was perhaps the first campaign of its kind by the first consumer group of Rajasthan, which impressed me a lot. I signed on it, as one of the 44 legislators of Rajasthan. The campaign was successful, as I saw in the press.

Whether I was the Leader of the Opposition in Vidhan Sabha (State Assembly) or the Chief Minister of Rajasthan, CUTS staff have always been in touch with me on different issues pertaining to consumer’s interest every time. I have been seeing the organisation growing at an amazing pace. CUTS is one of the very few consumer organisations in the country working from the grass roots to international level. It has brought a number of issues concerning consumer’s interest to limelight.

When I was asked by the Bharatiya Janata Party in 2000 to draft the party’s input for the National Agriculture Policy, I had to look around for guidance and inputs on WTO’s impact on Indian agriculture. Few persons informed me that one does not have to look beyond Jaipur, when CUTS Centre for International Trade, Economics and Environment can assist me. Indeed their expert comments and inputs helped me to draft the policy paper.

I have been seeing a variety of CUTS’ publications, especially the one which is in the form of a wall newspaper called the “Gram Gadar”. This wall paper has been helping our rural folk in a big way by its regular columns, such as on women’s rights. CUTS has rapidly diversified its work areas and the need of the future is that it should set goals according to the needs of a common man, maintaining its identity.

I congratulate Shri Pradeep Mehta and his team at CUTS for their great efforts and wish them good luck for a very bright future.

I also congratulate CUTS for completing 20 years and wish every success in meeting its endeavours.

Jagat S. Mehta
Former Foreign Secretary of India

Noblesse Oblige of the Educated for the Disadvantaged

Thanks to an old acquaintanceship with Pradeep S. Mehta, I came into contact with CUTS fairly early. The fact that he utilised his old family property near Chittorgarh for a public-spirited purpose impressed me. (CUTS Centre for Human Development is located here). Not many of us make such gestures even in a village homestead.

Pradeep recognised that the democratic system of government places obligations on all citizens to contribute in diverse ways to strengthen the working of the system to optimise welfare of the people: it cannot all be left to the government or the state. The market forces may govern economics but the system requires to be supplemented by non-official and intellectual vigilance against manipulation. Systematic efforts can expose the exploitation of consumers. This we all assume but some people like Pradeep, who work as pro bono publico, redeem this duty.

Protecting the consumer is not easy: it requires not only study, compilation of statistics, comparison with costs, research of the national market but also following the international trading developments, economic forces and multilateral conferences.

The CUTS periodicals are a proof of this sustained and systematic effort. In 20 years, CUTS has made people aware of deception regarding quality and pricing and so eased the scope of exploitation. It has served to safeguard against advertisements and persuasions, which are wholly or partly false. CUTS has also provided a forum for complaints and contributed to benefits and amelioration.

CUTS is thus, doing a national service. This helps us all, but it is particularly important for the poor with limited purchasing power. They may not be receiving their publications but they are beneficiaries. CUTS is noblesse oblige of the educated for the disadvantaged.

Jagdish Bhagwati
University Professor, Columbia University, USA
External Advisor to Director General, World Trade Organisation
Special Advisor to the United Nations on Globalisation (2001)
Economic Policy Adviser to Director General, GATT (1991-93)

The First Indian ‘Globalised’ NGO

My first interaction with CUTS and Pradeep Mehta dates back to 1996, at the time of the UNCTAD IX, which was being held at Midrand, South Africa. I was invited to deliver the Raul Prebisch lecture. Pradeep asked me an interesting question from the audience. I followed up with a conversation during the coffee break and discovered in him an immensely engaging and dedicated NGO leader who was not simply an “activist” but a thoughtful person. Little did I know then that I would wind up working with him on CUTS’ activities.

In fact, he persuaded me to Chair the Advisory Board of the CUTS Centre for International Trade, Economics & Environment (CUTS-CITEE) that CUTS was launching in 1996. Later, in November 1997, for the first time, I attended a meeting organised by the Centre on WTO issues in Geneva and that was when the first meeting of the Advisory Board was held. Over the years, my association has grown in many ways.

CUTS has developed from a modest NGO, addressing mainly domestic consumer issues, to a pre-eminent position as an international NGO, dealing with issues relating to the world trading system and related issues. Under Pradeep’s remarkable leadership, and with the assistance of his brilliant and dedicated young associates, CUTS is now on the frontline of research and advocacy on global trade issues.

It also brings to the NGO policy space a distinct and independent developing-country perspective, which does not mirror simply what the rich-country NGOs and governments want done. This is necessary as we have to have our own and independent NGOs instead of relying on the hugely-financed mega NGOs headquartered in the rich countries and whose perspectives are inevitably influenced by the political and cultural constraints that history and geography impose on each of us.

I might add a vignette which reflects on Pradeep’s high integrity. Given my forthright views on economic reforms and the benefits that outward orientation brings in shape of both economic prosperity and poverty reduction, I once wondered whether the difficulties that Pradeep was facing in getting a grant from a New York based Foundation with a branch in New Delhi were due to my being associated with CUTS.

So, I offered to resign my Chairmanship and to help CUTS informally in all ways, given my great admiration for CUTS and for Pradeep. At which point, Pradeep said: I would rather have you than the grant. In the end, the grant did come through!

The strength of CUTS lies in its outreach. In order to conduct effective outreach among the trade community around the world, the organisation has, over the years, strengthened its research and advocacy capability. Without a minimum research capability, it is hard to do outreach: you would not be able to decide wisely what to reach out with!

CUTS has done a commendable job with research on a variety of issues such as child labour and competition policy. Its outreach publications like Economiquity, a newsletter of CUTS-CITEE, also offer an excellent overview of ongoing WTO and NGO developments in the area of trading system issues. They play an important role in informing the public and in shaping the debate on trade policy in all its dimensions today.

In this context, CUTS’ decision to open an office in London is also welcome. There are several instances when NGOs from the rich world are opening centres in the poor countries, but this is the only example of a reverse initiative that I know. And it should help in providing a better dissemination of developing-country perspectives that are often missing sorely from the Western media and Western policymakers’ perceptions.

This anniversary is thus a time to celebrate the great success of CUTS and to congratulate Pradeep on his remarkable energy and talent in making this success possible against the many odds that he faced. One can only wish CUTS another equally glorious 20 years!

Jairam Ramesh
Secretary
(Economic Cell)
Indian National Congress

Following a Lone Furrow of Liberalisation Against the Fringe
Stream of Anti-Globalisers is Most Commendable

I first met Pradeep Mehta along with Sam Pitroda at Calcutta in 1988, when he came to ask Sam to come and give away prizes for ‘dead’ telephones. Both of us were very amused at the proposition as well as his gumption, but saw in him an intrepid consumer crusader. Sam used to be the Technology Adviser to the Prime Minister, and Chairman of the Telecom Commission. He was very angry on being asked to do such a thing, but agreed.

Ever since then, Pradeep has been in touch with me and has been sending me CUTS publications, which I have found very well produced both in terms of contents and looks. The wide array of activities, that CUTS is involved in, and to see an active NGO touching upon various aspects of our economic policy, gladdened my heart. Impressed with this, I was instrumental in the Government nominating him as a Member of the Life Insurance Corporation of India as a consumer representative. A role, which he discharged most admirably, leaving behind his stamp on many reforms in the Corporation.

Looking at the work of CUTS on international trade policy, I am absolutely amazed at their programmes and networking. There is hardly any person in the international trade policy world, who has not heard of CUTS, and its intrepid work. Their approach to such complex issues, following a lone furrow of liberalisation against the fringe stream of anti-globalisers, is most commendable.

As challenges in future, CUTS should steadfastly remain committed to its goal of promoting openness, do cost benefit analyses and carry the message to the common person.

Anders Ahnlid
Director
Ministry for Foreign Affairs
Sweden

Making the Goals of Civil Society in Developed World Align with those of the Developing world

My first interaction with CUTS dates back to 1996 and the intensive debate on the Multilateral Agreement on Investment in the Organisation for Economic Co-operation and Development, in which I participated, when posted at the Swedish Delegation to the OECD. CUTS, stood out compared to many other NGOs, as an organisation that had done its homework and as a credible participant in the discussion.

The characteristics that make CUTS interesting in my view are its constructive and well-reasoned approaches to analyses of development topics and trade-related issues. The fact that the organisation is based in India and “owned” by developing country representatives is important for giving the views of developing countries a clear voice in the international dialogue on trade-related issues. Its programmes to assist developing country representatives prepare for international trade negotiations are much needed today.

CUTS also takes advocacy initiatives in the area of trade policy that are constructive in nature. One example of this is the Jubilee 2015 market access initiative that was launched in Johannesburg during 2002. In the trade and investment field, CUTS generally improves the ability of the international actors to formulate policy rather than—as some organisations do—denounce the option of multilateral action. The contributions of CUTS as regards trade and competition as well as the IWOGDA-programme (International Working Group on the Doha Agenda) are examples of this.

The out-reach activities of CUTS and the involvement of researchers and government officials from other developing countries are of great value. Co-operation and alliance-building between developing countries is probably one of the more efficient ways of accelerating the capacity of developing countries to take part in the international dialogue on economic issues as well as preparing for negotiations in organisations such as the WTO. The outcome from the WTO Ministerial in Doha shows that coalition building of that sort can lead to good results. I would welcome an even closer co-operation between CUTS and relevant institutions in the poorer countries in Asia and Africa.

I would also see a great value in continued attempts to involve civil society (both in developing countries and in developed countries) in an advocacy role in support of trade liberalisation. Such a movement has potentially a major impact on international trade policy and would strengthen the arguments of the more progressive and free trade oriented countries in-for example-the WTO negotiations.

One particular challenge is how to ensure that civil society organisations in developed countries work towards the same goal as the civil society organisations and the poor populations in developing countries. The dialogue with national civil society organisations is instrumental for a country’s policy formulation. As regards development issues, it is however, in my view, very important that the demands expressed and the advocacy campaigns launched by the Swedish civil society reflect the real interests of the poor in developing countries.

Rahul Bajaj
Chairman
Bajaj Auto Ltd, India

Injecting Greater Intellectual Rigour

I have known CUTS and Pradeep Mehta for a while now. We were together on the Commerce Ministry’s Trade Advisory Committee chaired by Minister Ramakrishna Hegde.

I am impressed by the width and depth of CUTS’s publications on WTO related issues. They have usually taken an informed, open minded and balanced view of issues.

It is important that non-governmental organisations be consulted in the debate on international trade. It injects greater intellectual rigour and candour.

I congratulate the institution on its 20th Anniversary and wish it the very best for its future.

John Burton
Department for International Development
Thailand

Impressed with Ability to Deliver Professional Output within Budget and on Time

I was posted to India during the period 1997 to 2002 as an Economic Adviser to the UK’s Department for International Development (DFID). This coincided with a period when DFID became intensely interested in issues of globalisation in general, and trade in particular. DFID published a White Paper on “Making Globalisation Work for the Poor” in 2000, and as an advocate of the new “Development Round” of trade negotiations, we were particularly interested in India’s negotiating position at the Seattle and Doha WTO Ministerial Conferences.

CUTS was, therefore, an obvious partner of DFID on this agenda, and Pradeep Mehta has been extremely effective at linking up not just with the DFID office in India, but also with the headquarters departments (International Trade Department, Asia Regional Policy Department, and Private Sector Policy Department). DFID, India commissioned a study on links between trade liberalisation and poverty in South Asia as part of a global study on this issue, which CUTS won on the basis of a competitive tender, and executed effectively.

CUTS has impressed me in terms of its ability to bid for work and deliver a professional output within budget and on time. The output of CUTS (briefing papers, newsletters, studies, training) is prolific. CUTS is unusual as a southern NGO, in its ability to work across continents, thereby building capacity of research and advocacy institutions in other developing countries.

In the future, I hope that CUTS will be able to expand and diversify its funding base, as well as improve its research capacity further, both through in-house expertise, especially in economics (not just a professional bias on my part, but because this is relevant to their objectives), and collaborative research projects with other institutions in India and in other developed and developing countries.

Jyoti Parikh
Senior Professor
Indira Gandhi Institute for Development Research
India

Up-to-date Work is Published not from the Capital, But from Jaipur!

I came to know about CUTS when they invited me to speak on the Consumption Patterns of the World in January 1997, soon after we finished the first paper written on this subject for the Earth Summit at Rio at the request of UNCED. This pioneering work by IGIDR has brought focus on inequity and sustainable development by showing item by item (about 20 items) the distribution of resource consumption in the world.

I was impressed to see the quality of discussion and type of people who participated at that event. Since then, I am receiving CUTS publications regularly which focus on competition policy, trade and equity. I am impressed that such up-to-date work is published not from the Capital but from Jaipur!

A conference on reforms held this year also brought people to discuss the quality of power issues and was again very informative and of good standard.

I congratulate CUTS for their achievements of the last 20 years and wish all the best to CUTS for many more decades in future.

James X. Zhan
Chief, International Investment & Technology
Arrangements PCBB Division on Investment, Technology & Enterprise
UNCTAD, Switzerland

Representing Developing Countries’ Interests in the International Fora

CUTS is a highly visible NGO based in a developing country. It has succeeded in making its development concerns and policy advocacy effectively heard by policy makers and negotiators in both developed and developing countries. Its succinct and insightful policy analysis series have been a must reading for me, as well as my many colleagues in UNCTAD.

One of CUTS’ core strengths lies in its advocacy work. As CUTS faces the future, it is bound to face competition from other entities also specialising in research and advocacy work. Hence its research activities must be framed so as to complement this core strength.

What fascinates me the most is that CUTS has been working both as a grass root voluntary organisation and also as a professional organisation doing advocacy work at the national and international level. The strength of CUTS lies in representing developing countries’ interests in the international fora.


I would like to congratulate CUTS, its visionary leaders and its hard working staff on celebrating 20 glorious years of service and wish them success in future.

Surendra U. Kanstiya
Former Chairperson
Consumers Guidance Society of India
India

When other Organisations Gave Me Knowledge, CUTS Gave Me the Wisdom

My association with CUTS dates back to 1986 (10th November 1986, to be precise) when I met Mr. Pradeep Mehta of CUTS at the ‘National Conference on Quality’ at New Delhi. I was there to represent Consumer Association, Falna (now defunct). Since in 1986 there were only five or six voluntary consumer organisations in the State of Rajasthan, we discussed about spreading consumer movement in Rajasthan. Various informative circulars followed on consumer protection issues from CUTS (the first one, which I received was on 18th March 1987). However my major encounter with the CUTS team was in January 1994 when I attended the Training Workshop for Young Consumer Leaders (TWYCL) organised by CUTS jointly with the International Organisation for Consumer Unions (now Consumers International) at Calcutta. I represented Consumer Guidance Society of India at TWYCL and I would like to add that the TWYCL organised by CUTS gave a ‘big push’ to the consumer activist in me.

Thereafter, I have attended various programmes on consumer protection organised by different consumer organisations but those organised by CUTS are certainly a ‘cut above the rest’. Whereas other organisations gave me education, CUTS gave me the training; the other organisations gave me knowledge, CUTS gave me the wisdom.

As an organisation, CUTS’ growth has been phenomenal. It is a role model for other voluntary organisations. CUTS is one of those few organisations in the world, working at the local, national and global level with efficiency and effectiveness and thereby providing direct assistance to an individual citizen by guiding him and indirect assistance to the citizens at large by influencing the policymakers and producers to work for consumer welfare.

The consumer movement has witnessed a major shift in the recent past. Issues like adulteration or excessive pricing or defective services appear to be petty ones as compared to the unfair business practices like dumping or cartels. Producers have also realised that the consumer is fully aware about her rights. However the new economic order is posing bigger challenges. The detection of unfair business practices followed by trans-national corporations needs detailed research and advocacy on one hand and education of consumers and the government agencies on the other. Though CUTS has already commenced working on these issues, the challenge appears to be becoming bigger rapidly and therefore CUTS team’s wisdom will have to keep pace with the producers’/service providers’ ingenuity.

As a token of my appreciation, I am sending a cheque of Rs. 20,000 as donation. Thank god, it is not its fiftieth year, but by that time, Rs. 50,000 will be much less than Rs. 20,000 of today!

Ms. Pamela W.S. CHAN
Chief Executive
Consumer Council
China

Risen to the Forefront of the Consumer Movement

I wish to extend our warmest congratulations to the Consumer Unity & Trust Society (CUTS) on the celebration of its 20th anniversary. It is most gratifying to see that what was an ad-hoc group of volunteers, campaigning for consumer interests in India, has now emerged as a dynamic organisation engaged in a broad spectrum of social, economic and development issues at the local, national, regional and international levels.

I almost lost count of the first occasion I had come to learn about CUTS. It started probably in the early 90’s, when I first met Pradeep Mehta at Consumers International conferences and meetings and have since then had the pleasure of attending conferences organised by CI and CUTS in India. I had the pleasure of attending the inauguration of CUTS’ new office in April 2000 in my capacity as President of Consumers International, on the occasion of the UNCTAD Regional Seminar on Competition Law and Policy for Asia Pacific.

Over the years, CUTS has risen to the forefront of consumer movement. It has now become an internationally recognised NGO speaking for the interests of consumers in developing countries. It has further expanded its horizon by conducting studies and capacity building programmes in African countries with the establishment of the Africa Resource Centre in 2001, a milestone in CUTS’ history as it serves to strengthen and facilitate cooperation among developing countries.

With the globalisation of the world economy and as we enter this new era of information and communication technology, the world around us is becoming more interdependent and integrated. The contributions of CUTS in the furtherance of consumer interests will be pronounced ever more.

I congratulate CUTS for its achievements and wish it every success in its growth.

R. L. Tiwari
Social and Trade Union Activist
Rajasthan, India

It is a truism to say that man is a consumer from the moment he is conceived till his death. However, there is no written record of how long he has been cheated as a consumer.

Market-rivalry and the culture of uninhibited consumerism have not only shaken human society, but have also upset the long cherished equations of life.

There is no dearth in our country of people who are cheated/exploited and the number of such people is much more than that of those who cheat or exploit. If we minutely examine this phenomenon of exploitation, it becomes clear that of all the causes of exploitation, the main cause is man’s greed to acquire more and more things. This greed is found in the traders as well as in consumers.

I was exposed to this phenomenon at the young age of 12 years in 1948. I was asked by my father to go and buy sugar. I was cheated due to short weighing. However, I challenged the shopkeeper, who made it good. I ‘confiscated’ the false weights and threw them into a well. The fat shopkeeper just shouted as he could hardly run as fast as I could. This only showed that market distortions continue to take place, in spite of an awareness on them in India, which dates back to 400 BC, when Kautilya had codified laws relating to short weighing, adulteration etc.

Where there is a will, there is a way. I found in Pradeep Mehta a similar person, who would also not accept such injustice. More importantly, he would share the way forward and empower people by exhorting them not to accept injustice. One day, while at the post office in my home town: Kapasan, I saw a wall newspaper ‘Gram Gadar’ stuck on the wall. There was an advertisement in it asking for voluntary representatives. I applied and was selected as a volunteer. The newspaper showed me the way and I got an opportunity to meet the editor, Pradeep Mehta. By accepting me as his co-worker, he not only obliged me but also provided me the incentive to promote my activism. There is no exaggeration in saying that Mehta has created an army of thousand dedicated activists in Rajasthan with the help of ‘Gram Gadar’. Extraordinary experiments were made to awaken public awareness, and during various discussions many new facts regarding the cheating of consumers came to light.

This lead to the formation of Consumer Unity and Trust Society (CUTS) and it was registered in June 1984. Thus, started the consumer movement from Jaipur in Rajasthan. The battalion of volunteers of Gram Gadar became the first army of CUTS.

CUTS then pressured the government to think and act for better protection of consumers. Finally in 1986, the late Indian Prime Minister, Rajeev Gandhi acknowledged the legitimate interests of consumers and promulgated the Consumer Protection Act, 1986. Now a days, every district has a ‘District Consumer Forum’ that addresses the problems of consumers and does justice to deserving cases. One can appeal to the state forum against the judgement of a district forum and to the national forum against the judgement of a state forum. Much of the credit for this unique law is due to CUTS.

It can be justifiably asserted that CUTS has left no stone unturned in creating consumer awareness in people. It has sincerely tried to ascertain the difficulties by the common man and his day to day problems, analysed them systematically and has tried to bring to light the findings of its research and analysis. To expand its net of consumer activists, CUTS took up a novel training project. It has trained hundreds of educated young men as ‘friends of consumers’ who are able to act as consumers’ representatives and plead on their behalf in consumer courts.

CUTS has now achieved its due recognition at the national and international levels.

CUTS has also made an important contribution to the movement of women’s empowerment. It has also trained women from time to time to fight for their rights and this has yielded good results.

It is generally seen that many organisations are run by individuals under the principle of ‘One Man Show’, and they cease to be effective and functional if they are deprived of the services of such an individual. On the contrary, CUTS has always followed principles of democratic decentralisation. It is, therefore, sure to have a long life and safe future.

Owing to the team spirit of its dedicated and fully committed workers and the managerial capacity and vision of its Secretary General, CUTS is working as a beacon to the human society.

CUTS and its members have not only helped to solve various problems of consumers but have ably guided them to sort out various other problems of their daily life. It has strongly pleaded and worked for the alleviation of people’s suffering. Some of its networking members are also committed to the protection of farmers and workers rights and welfare.

Most of CUTS literature is published in English and is of little use to the common people. This is mostly used by foreign organisations and educated elites. Secondly, the cost of these publications is very high and is beyond the reach of common man.

The public distribution system and consumer courts are not so effective, nor helpful to the poorest of the poor. In these circumstances, CUTS will have to revise its priorities and further course of action. This is the crying need of our society.

R. Desikan
Trustee, Centre for Consumer Education Research and Training
India

Professional Presentations and Management

Shri Pradeep Mehta whom I have known for almost 1-½ decades is one of the outstanding consumer activists of India. His capacity to build an organisation to raise consumer issues at International levels and put CUTS on the world map is not a mean achievement. If each state had one Pradeep Mehta in this country, devoting himself to problems of consumers in the particular state, we would have built up a wonderful team of consumer activists.

CUTS is an example of how huge resources can be raised through professional presentations and management.

The country owes a lot to Pradeep Mehta and CUTS.

Ashok Mehta
India

Amazed at the Wide Spectrum of Activities

The Mehta family of Udaipur, (Rajasthan) has, over the years produced quite an impressive array of diplomats, civil servants, administrators, social workers, educationists, professionals, corporate leaders and other eminent persons.

It is in this back drop, that my cousin Pradeep, along with his friends established the Consumer Unity and Trust Society twenty years ago, to work locally, nationally and internationally on the complex subject of SOCIAL CHANGE. My admiration and congratulations.

My association with CUTS goes back to the time when the Society was established. I have watched with great interest and am amazed at the wide spectrum of activities in the CUTS portfolio. Over the years, these varied activities have been carefully researched, presented and advocated both nationally and abroad with considerable success.

Twenty years of CUTS have passed by very quickly. On the occasion of this 20th anniversary, my sincere congratulations to Pradeep, his team at CUTS and all those who have been associated, directly or indirectly, with CUTS on the excellent works done so far. My best wishes to all of them for greatest achievements in the next decade. In today’s fast changing world, it is perhaps better to work and achieve results in a ten years time frame.

Arvind Panagariya
Professor and Co-Director
Centre for International Economics
Department of Economics
University of Maryland
USA

Leading Advocate of Developing Country
Interests at the WTO

I first heard of Pradeep Mehta and CUTS years ago from my friend and guru, Professor Jagdish Bhagwati. Jagdish had met Pradeep at an UNCTAD conference in Midrand, South Africa in 1996 and, knowing that I came from Japiur, asked if I knew him. I did not at the time but was later happily surprised to find out that his father-in-law was our neighbour and he and my father had gone on morning walks for years during my stay in Jaipur!

Later, I met Pradeep at a Conference at Columbia University just prior to the ill-fated Seattle WTO ministerial and learned a great deal about CUTS and its activities through various publications he gave me. Since the issues CUTS had been addressing were close to my own heart, I quickly developed deep interest in its activities. Since then, I have visited the CUTS offices in Jaipur twice and also given speeches at events organised by them in Jaipur as well as Washington DC.

In a very short period, CUTS has turned into a leading advocate of developing country interests at the WTO.  There are a few WTO related events of importance to developing countries on the international stage that do not have the CUTS presence these days.  CUTS has done a remarkably great job of articulating the poor country’s interests and concerns on the subject of a link between trade and labour and trade and environmental standards.  My heartiest congratulations to them!

I am pleased to know that CUTS is celebrating its 20th Anniversary and am sorry to miss the festivities.  But I hope to be present in spirit (at least in the cyberspace) to witness the Conclave that is bound to be highly successful.

Indranil Banerjie
Policy Analyst
India

Making Hard Choices, and Working on Them

My first interaction with CUTS was in the late 1980s when I was a journalist working with India Today. I met the founder of CUTS, Mr Pradeep Mehta, who seemed pretty much obsessed with the idea of starting a consumer rights movement in India. At that time, he appeared to be torn between the compulsions of leading a regular existence as family breadwinner and the idea of striking an uncertain course as a consumer crusader. For a while he did both – conducting business as well as developing CUTS. Even at that time, his heart clearly was with CUTS and his business an ineluctable but irksome duty. I was never in doubt about the way Pradeep would finally swing. He made his choices and those choices worked.

Pradeep has had to fight against cynicism and disinterest at various levels, beginning with his family. His wife though extremely supportive, nevertheless felt concerned at his obvious lack of interest in his business. Indian society in the 1980s was not very clued up or interested in consumer rights movements. Pradeep had to plough the lonely furrow. Virtually all of the CUTS funds in those years came from his business earnings. Where he did succeed was in his ability to rope in other people to work as volunteers. Over the years, he has perhaps replicated this on a much larger scale.

CUTS can strengthen its research and advocacy by helping build grassroots organisations in urban and rural areas that will directly interact with people and help them out. The only challenge that CUTS faces is to be better known within India as a pioneering institution.

Ajay Kumar
Vice President (Communications)
Tata Industries Ltd., India

Good Economics is Good Politics

My first interaction with CUTS took place about the same time as it was established, in my previous avatar as a journalist. Pradeep Mehta approached me with pre-election opinion poll surveys done in Rajasthan during the Lok Sabha (lower house of the Parliament) elections in 1984, when I was at The Telegraph at Calcutta. I was quite impressed, especially seeing the forecast close to the actual results, and asked them to keep in touch with me at The Times of India, to where I moved. Pradeep too moved to Calcutta, and continued working in the narrow area of consumer activism. He would keep me acquainted with its activities, no doubt with an eye on access to the columns of the journal I used to work for! One major breakthrough, which I witnessed as a senior assistant editor at the Times, was their successful and tenacious campaign against the use of the unsafe food additive: BVO used in aerated soft drinks.

Awareness about the growing activities of CUTS was through sporadic interactions with Pradeep, physically and through being a recipient of CUTS’ mailings and, of course, through the writings that Pradeep and other CUTS staffers increasingly did in the media. I was particularly impressed with Pradeep’s weekly column: Caveat Emptor in The Economic Times on Sunday, which covered consumer abuses and their solutions. By that time, I had moved from the Times to the Economic Times as the Executive Editor.

Once he came to me for financial assistance to attend the International Organisation of Consumer Union’s World Congress in July 1991. I spoke to my then editor: T N Ninan, who readily agreed to support the case, a first for a non-staffer. His reporting from the Congress on the unfolding Uruguay Round of the GATT was also very good.

It has been a very instructive case of an organisation that has grown through organically pursuing areas of inquiry and activism in one concentric circle after another.

As far as future challenges are concerned, CUTS could try for:

1) Further improvements in its networking with similar organisations over the world so that the insights/solutions are real time;

2) More active involvement with the interested State Governments in India to improve Governance and to exhort others to improve Governance; and

3) More active involvement with the whole class of political executives to inform them of the developments in the world economy with only one slogan in mind: Good Economics is Good Politics. I imagine the biggest challenge that CUTS will face is of quality, human talent, of generating an endless and adequate supply of apostles of change. An organisation like CUTS will live and die by the quality of the passion it inspires and this passion will depend, entirely, on the quality of leadership it has at every rung. There is an unending task ahead; what is required are nimble, keen, modern and open minds, endless energy and integrity. And, of course, a basic education-manured intelligence. Too often, the growth of such institutions is dwarfed by it becoming the extension of an individual’s ego and other agendas; that tendency needs to be guarded against if the passion that must drive CUTS has to be shared widely and deeply.

Here is wishing CUTS all the very best.

Subir Gokarn
Chief Economist
Credit Rating Information
Services of India Ltd. (CRISIL)
India

Continue with the Same Level of Commitment and Impact

Having been associated with CUTS for the last five years or so, both as a professional resource and a member of the Executive Committee, I have been highly impressed by the productivity and impact of this small, but extremely dedicated and committed group of people. These last five years have been a period in which people have been struggling to understand the full significance and potential consequences of the evolving world trading order. CUTS, both through its internal resources and the extensive networks that it nurtures, has contributed immensely to this process, not only in India but internationally as well. I cannot think of any other organisation that has done a better job in making trade-related issues as accessible to as wide an audience as CUTS has and I am proud to have been associated with that effort in whatever little way I could be.

As you look ahead, I would like to see a greater degree of integration between your various activities. CUTS is perhaps unique in straddling the whole spectrum from the tiny Indian village to the international negotiating arena. Leveraging this spread to the maximum extent possible is critical to both the growth of the organisation and the impact it will have on the welfare of all consumers. I wish CUTS all the best in this effort and have no doubt that you will continue with the same level of commitment and impact in the decades ahead.