Kanpur: Once The Largest North
Indian City
The city that was called “Cawnpore’ during the British raj, was once among
India’s leading cities. A fruit vendor who used to work in Kanpur’s textile
industry, tells, “Earlier, Kanpur sent goods to the rest of the country, and now, it
has become a dump yard for consumer goods.”
Pre-Independence
Kanpur ran its first electric tram in 1907, the same year it started in Bombay.
The first textile company — Elgin Mills, began here in 1862, which paved way
for 9 other textile companies before the start of the 20th century, making it North
India’s biggest industrial city. The same city now houses about 400 different
slums with ever increasing population and unemployment. Many of these houses
are still devoid of basic serv
Read more: How the Once Flourishing Kanpur Textile Mills DecayedTable: Accessibility to Basic Services in Existing Housing Stock in Kanpur City
Proportion of houses having electricity, safe drinking water & toilet | Percent of total
Electricity 6538
Safe Drinking water 8239
Toilet 61
Electricity & Safe Drinking Water 59.63
Toilet & Safe Drinking Water 3782
Electricity & Toilet 3840
All Three Facilities 3332
‘None of the Three Facilites 10.15
‘Source: Kaupur Development Authonty Vision Document, Final Report, November, 2003
The story of decayed industry in Kanpur starts with the time of its flourish, back
to the year 1857. During the Satti Chaura revolt in Cawnpore, around 300
British personnel were killed on the orders of revolt hero Nana Saheb. The
incident jolted the British so much that they decided to turn Kanpur (then
Cawnpore) into a fortress, heavily guarded by the army and police.
The city suddenly became a safe place for the British and a high-demand for-
textiles place for the colonizers. Gradually, after the rise of a few textile mills,
Kanpur became the most important sourcing center for the army and the police
across colonial India, Eventually, the Indian capitalist class joined trade by
setting up a parallel leather industry to meet army’s needs. The biggest boom to
this industry came in the form of the 2nd world war, when the requirements of
army personnel touched an all-time high.
Post-Independence
The well established textile industry in Kanpur started showing signs of
crumble soon after independence. Prominent families in the city, like those
of Kotharis and Jaipurias bought these industries from their British
owners. The high profits in textile during the era of nation-building were
directed towards setting up new ventures, as the mill owners were aspiring
to expand their empires. The industry suffered losses as a result of declining
investment towards modernization of mills. By the end of 1960s, the owners
began shutting down their mills, putting around 1 lakh workers in jeopardy.
That is when the government of India (GOI) intervened and took over the
nine biggest mills in the city.
The nationalization of Kanpur mills which appeared to be a boon at start, turned
out to be an ill-fated step due to several loopholes, mismanagement and
corruption. There was lack of modernization as well as innovation due to several
reason. The officials did not have a vested interest in working upon the
sustainability of mills. They needed to earn money, and there were a lot of
unofficial ways to do that. All of this led to further crumbling of the industry in
KanpurKanpur textile workers protesting against corruption in top management (Source: htip://archive.cgpi.org/)
The contractor-administration-politician nexus grew strong. Heavy
duty corruption resulting in fudging the profit figures, despite high
production, was the main reason that these industries started to decline.
—Daulat Ram, vice-president of UP committee of the Centre of Indian
Trade Unions (CITU) in one of the published interviews.
1980s
By the 1980s, the industry had already started showing signs of irreparable
decline as the government’s intentions to professionalize the management could
not be seen, As a result of the Rajiv Gandhi government’s 1985 Textile and
Handloom Industry Policy, labor strength was gradually reduced from over 2
crore workers across the country to about 50 lakh, without any rehabilitation
package.
In 1989, the K.K. Pandey committee was set up by the government to implement
this textile policy. It recommended severe cuts in the labor strength. On 24th
Jamuary 1989, the world’s longest railways jam was organized by the workers
that lasted for 110 hours. It forced the government to dismantle the committee.
After a sustained and militant labor movement around this time, the policy could
not be implemented.
1990s
In 1992, a year after the economic reforms were introduced, the Narasimha Rao
government had issued a notice to stop production in all the mills being run by
central government in Kanpur, without officially closing them. They were
declared as “sick” units. The final knell for the textile industry came during theBJP (Bhartiya Janta Party) government's tenure at the Centre. Atal Bihari
Vajpayee’s government started a package for the voluntary retirement of
workers, famously known as the Golden Handshake Scheme. But those who
opted for it got only between | lakh rupees to 2.5 lakh rupees, an amount that
could not last long to sustain workers. As a result, most of the struggling mills
and tanneries were also closed.
2000s
In 2002, around 14,000 workers in the National Textiles Corporation (NTC) and
5,000 workers in the British India Corporation (BIC) were left without work.
They were forced to work in the unorganized sector as daily wage earners. Many
others returned to their native villages. The decline of the textile industry in
Kanpur, has often been attributed to the trade unions and their calls for strikes.
However, the policy restructuring by successive governments, the resultant
bureaucratic insouciance, and private corporates’ lack of interest have been some
of the major factors responsible for the industry’s decay. The communal
polarization after Babri masjid incident in Ayodhya (1992) also divided the
laborers on faith basis and weakened the movement.
The story of Kanpur’s textile mills is one of bureaucracy and political
insensitivity. It is also an example of transition of a city that was once called
“Manchester of the East” to a decadent dumping yard being run by
communal and anti-labor politics.
After the Narendra Modi government came into power, the Union Minister of
Heavy Industries and Public Sector Enterprises Anand Geete raised the
hope of workers by announcing GOI’s plans to revive about two-thirds of the
sick industries. However, none of those announcements have materialized since
2014, and afier this pandemic, the possibility of revival of these industries by the
government, looks bleak.
Note: The opinions expressed in this article, are personal to the author and
may not necessarily reflect the view of India Fellow Program.
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