1 2

International and NationalSituation & Our Tasks

International Situation1.1 The world order is undergoing “great disorder”. Explosion of financial-economic crisis and failure of “global war on terror” has brought about endof unipolar world and rise of multipolar world. All contradictions of imperialistsystem are intensifying on this new basis. Contradictions among imperialistpowers over grabbing and controlling natural resources, share of marketand investment zones, are sharpening and wars are raging in differentregions of the world. New alliances are taking shape while older ones arebeing remoulded. Uncertainty is the only certainty. Change is in the air anddifferent forces are vying for their kind of change. Different class forcesand different regions are thrusting forward to participate in this change.March of history continues belying prophesies of its end. Imperialistcountries and third world countries, oppressors and oppressed, capital andlabour, reactionaries and revolutionaries are locked in struggle in allcontinents and in all regions of the world. We are living through interestingtimes pregnant with great possibilities and posing great challenges andtrials for the revolutionary forces.1.2 World financial-economic crisis which had shaken the imperialistsystem to the core continues. Starting from the largest imperialist economy,the USA, the crisis engulfed all parts of the world. Beginning in the laterhalf of 2007, the financial-economic crisis assumed big proportions leadingto shrinking of economic activities in imperialist countries, burgeoningunemployment and underemployment, stagnant and falling wages ofworkers, growing private and public debt. This grave economic crisis inimperialist countries reached all parts of the globe worsening the alreadyserious conditions of the people in third world countries. Large scale infusionof public funds to save private profits played a role in converting this crisisinto sovereign debt crisis with many European economies sufferingcontraction of economy, bank failures and high unemployment. Lot of theworkers and common people continues to worsen as neoliberal andneokeynesian saviours of capitalism alternate as dominant economicsoothsayers. Austerity remedy, shifting burden of profligacy of rich ontothe backs of poor, proved worse than the malady drawing millions intostruggle.

1.3 There is growing food insecurity in the world with prices of fooditems escalating, taking the basic means of survival out of the reach oflarger number of people, particularly in third world countries. Diversion offood crop land in third world countries to other uses including biofuels,inadequate attention to developing sustainable agriculture and decliningpurchasing power of the overwhelming majority of the people in thesecountries has pushed large number of people in these countries into theabyss of starvation and hunger. The overall mood of people in third worldcountries is of disillusionment and anger.

1.4 The rulers of imperialist countries have intensified attacks on thirdworld countries and on working class in their own countries. People’s moneyis being thrown into service of big finance capital. Workers, unemployedyouth and students have come into the streets in European countriestargeting their govts. and banks. The reactionary regimes in third worldcountries are resorting to increasing suppression of people’s struggles andincreasing fascicization of state machinery even as they collaborate withimperialists in bailing out their crisis ridden economies. In this situationstruggles of people are rising sharply. While old areas of armed strugglelargely continue to subsist, there are outbreaks of armed conflicts in newareas besides growth of popular movements on a number of issues.

1.5 “Global war on terror” launched by US imperialism to secure itsworld hegemony in face of its declining economy was grounded by nationalstruggles of the people subject to its armed aggression. Neo-con effort tosecure the realm through use of military power met its match in the armedresistance of freedom loving people. National wars of people of Iraq andAfghanistan exposed the limit of power of US imperialism. This global warended in achieving what it sought to avoid. With the increasing financialburden of war and escalating casualties on the battle-field, the domesticsupport for the imperialist wars of occupation declined. Labels like “War onterror” “axis of evil” “Islamic terrorism” “pre-emptive strikes” were quietlydropped. Drawing down of this war became imperative for US imperialism.Osama bin Laden was eliminated and Barak Obama declared “victory” inMay 2013 to start bringing the curtain down on this phase of war.

1.6 While the first Gulf War (1991) inaugurated the unipolar world, thelaunching of second Gulf War (2003) initiated its decline. In the backdropof national wars of people of Iraq and Afghanistan, the defeat of US-supported Israeli war in Lebanon by Hezbollah led resistance signalled anew era in Middle-East accelerating the demise of the unipolar world. The

3 4

US supported military offensive of Georgia and swift military attack byRussia (2008) in which US could just be a spectator and divisions in Europeon the issue, heralded end of unipolar world. US could no longer be solearbiter of war and peace in different parts of the world though still being themost powerful military and economic imperialist power in the world.US andits allies withdrew their Armies from Iraq and now defeat stares them inAfghanistan and they have announced withdrawal of their combat forcesfrom there too. Events of Syria and larger middle-east clearly proved thischange where US could not carry out its threatened bombing of Syria.Divisions among its allies in the middle-east came into open and US had totalk to Iran on its nuclear programme.

1.7 While drawing down in Iraq, Obama’s adoption of Afghanistan asthe main theatre of ‘necessary’ “war against terror”, the new US Admn.focused their war on South Asia, merging this theatre with Central Asiaand West Asia. Af-Pak as the central arena overlooks Indian subcontinentto the south, China to the east, Central Asia and Russia to the north andIran and Middle-east to the west. US imperialism sought to strengthen itsstranglehold on Asia. The Indian rulers have been its willing accomplices.South Asia is also an arena of the inter-imperialist contradictions. But withAfghanistan the US imperialist rulers and their British accomplices hadbitten more than they could chew. This historical graveyard of empires runamok, snapped their war sinews with its labyrinthine valleys and fiercelyfreedom loving people. This David has again defeated a Goliath. With USannouncement of its proposed withdrawal in 2014, different powers arerepositioning themselves in Central Asia and South Asia.

1.8 The imperialist countries are trying to overcome their great recessionthrough intensification of loot and plunder of third world countries. They aretrying to further force open investment and trade with third world countriesthrough completion of Doha round of WTO, they are trying to crippleindustrial growth in third world countries, particularly its large economies,through imposing carbon caps taking present level as the basis. On theother hand they are trying to impose discriminatory NPT on third worldcountries which secures their monopoly over nuclear weapons.

1.9 People of third world countries are waging valiant struggles againstimperialism and domestic reactionaries. These struggles, emanating fromthe principal contradiction of the present times, are the most potentchallenge to the imperialist system. It should be borne in mind that it isprimarily the national wars of the people of Iraq and Afghanistan with their

huge economic and military costs that have brought about the decline ofUS imperialism and ushered in the multipolar world. These wars have playeda decisive role in undermining the strength and prestige of US imperialismthe world over, shaken its leading role and split its allies.

1.10 The great recession and wars against imperialist occupation andstruggles of third world people have greatly intensified all the contradictionsof the imperialist system namely the contradiction between imperialismand oppressed countries and peoples, the contradiction among imperialistpowers and the monopoly groups and the contradiction between capitaland labour in imperialist countries. There is sharp escalation in thecontradiction between reactionary rulers backed by imperialists and peoplein third world countries. Contradiction between imperialism and oppressedcountries and peoples continues to act as the principal contradiction atpresent and continues to decisively influence other contradictions in theworld. The struggle of the people of third world countries for new democraticrevolution targeting imperialism and domestic reaction and struggle ofworkers of imperialist countries for socialist revolution continue to be thetwo streams of the world proletarian revolution, each facing concreteconditions in their countries but each being part of the world people’s struggleto overthrow imperialism.

1.11 It is obvious that the development of productive forces has longreached a stage where needs of the people of the world can be effectivelymet with judicious and sustainable utilization of the available resources.However, the conditions of the people of the world are abysmal. More than1.4 billion people live on less than $1.25 a day and more than a billionpeople sleep hungry, over 1.2 billion are malnourished. The diseases forwhich cures are available since long, continue to kill a large number ofpeople. Over a billion people have no access to safe drinking water. It isobvious that despite great advances in science and technology, theconditions of people cannot be improved without overthrowing imperialism,which is devouring the natural resources of the globe and labour power ofthe multitude to increase the wealth of a few. Change of the system hasbeen on agenda since a long time but this system will not go by itself. Ithas to be overthrown by the determined struggle of the people.

Explosion of Financial-Economic Crisis1.12 Since 2007, a serious economic crisis engulfed the imperialist world.It started from the biggest economy of the world USA. The immediate

5 6

cause of the crisis was the decline in the value of residential houses whichhad grown enormously over the past years. In fact this balloon wasdeliberately inflated by the low interest rates and leverage granted toinvestment banks with commercial banks. The total value of residentialproperty in developed countries rose by more than 30 trillion dollars to over70 trillion dollars over five years upto 2007, an increase equivalent to thecombined GDP of these countries. This property, mostly given on mortgageirrespective of the paying capacity and record of the mortgagee (subprimelending), was sliced and packaged as investments and sold to banks andthrough them to financial institutions the world over. The insurance of loansenabled them to be recycled. This debt driven consumption was not theonly one, there are many more of the kind like credit card, car loans, studentloans etc. So long as the value of the houses kept ballooning, the financialsharks kept making money but when the balloon burst, they started goingunder. The investment banks were the first to fall. From them the crisiswent to big commercial banks on whose balance sheets these overpricedproperties were kept as assets, and from them to other financial institutionsincluding mutual funds, pension funds and similar others. While theinvestment banks started collapsing due to weight of these toxic assets,the commercial banks started faltering with a good number of them goingunder. Credit started drying up impacting the real economy i.e. productionof goods and services. Unemployment rose as housing constructiondeclined by a third. House equity dropped to 41% with 1.9 million foreclosuresand erosion of household wealth by $ 14 trillion. Consumption came downwith retail sales falling. A number of industries faced closure with hugeautomobile sector virtually going bankrupt. Number of unemployed rosesharply. Registered unemployment rose to 9.5 percent with a good numbergiving up looking for jobs and hence falling out of this calculation. Numberof working hours of the employed also registered a fall over this period.Wages of still employed remained stagnant.

1.13 US Admn. moved to bail out the banks. Trillions of dollars werepumped into banks raising the ire of the people. In the name of saving jobsand rescuing economy, the US Admn. pumped in huge public money toshore up banks i.e. saving the financial sector. Interest rates were broughtto near zero to shore up credit. The preachers of market’s infallibility becamesaviours of fallen markets. US admn.’s drive to bail out financial sectorhas to be seen in the background of rising share of financial services in thenational income of USA. Its share had risen to 41% of the corporate incomesby 2007 (merely 16% upto 1985) themselves 65% of national income. With

industrial production declining, the financial services had seen the majorgrowth over the past decades.

1.14 Similar collapse in the value of residential property occurred inother western countries too with similar effect of eroding the capital of thebanks which needed to be recapitalized by the Govts. Germany, France,England, Japan and other major economies embarked on their own bailouts.With credit and capital investments falling and market shrinking, theeconomies of several European countries went into free fall. Iceland, thebanking heaven, went bankrupt.

1.15 Under the impact of failure of banks in US and European countries,the share market plummeted losing huge values in market capitalizationand hence in the ability of the capitalists to raise money from the market.The financial-economic crisis affected the whole world firstly by loss invalue of the securities, decline in markets of US and Europe, fall in industrialactivities leading to fall in the prices of raw materials and also by drying upof credit. The manufacturing output fell and global consumption of electricitydeclined for the first time since 1945. World trade diminished sharply.

1.16 While this crisis was the immediate result of the bursting of housingbubble, its proximate cause was in the military drive of US imperialism.Industrial production has been declining in US with increasing sectors goingover to other countries due to low cost of production there. US economyhas grown to be largely dependent on financial services and military industrialcomplex. On the other hand there has been no significant rise in wagessince 1970s thereby affecting consumption of the people. It was sought tobe addressed by debt driven consumption with house hold debts andfinancial sector debts all growing to enormous proportions. Cheap goodswere supplied by other countries and financed by loans. The debts did notresult in high inflation with Govt. T-bills being bought over by other countries,principally China, Japan and oil rich Gulf countries. In a way these countriessupplied the materials and accepted T-bills in exchange. The US economycould weather these effects due to dollar being the international currencyand hence getting absorbed the world over.

1.17 The economic crisis of imperialism had hit the superpowers themost as their lopsided military expenditure placed heavy burden on theeconomy. At the time of collapse of Soviet Social imperialism, PoliticalResolution of our party Congress had analyzed, “The creeping economiccrisis has hit the superpowers with their monstrous military industrialcomplexes, the most. Over past decades their share in the world production

7 8

and trade was steadily going down. Their astronomical military expenditurecould not be sustained by their crisis ridden economies….. One withnarrower social base and weaker economy has come down and the other isfacing increasing difficulties.” (April, 1992) Rather than heeding the lessonsof the collapse of Soviet social imperialism, the US imperialists intensifiedtheir military drive as the sole superpower, trying to secure their worldhegemony through control of energy sources, trade and supply routes andhaving their military bases in all parts of globe. There came to be a synergybetween militarist drive and bubble economy based on the dominance ofdollar as international currency.1.18 The ultimate cause of the present crisis is in the very nature ofcapitalism where ever increasing production cannot be absorbed due toinadequate purchasing power of the people. Crisis of overproduction issimultaneously a crisis of under-consumption, the failure of goods andservices to find their consumer in the market, a consumer who not onlyhas need but also the power to purchase them. The unsold goods andlengthening inventories are matched by destitute, starving, naked andhomeless humanity. As Marx had observed, “The ultimate reason of allreal crises always remains the poverty and restricted consumption of themasses as opposed to the drive of capitalist production to develop theproductive forces as though only the absolute consuming power of thesociety constituted the limit.”1.19 This crisis is indeed a crisis of finance capital. Though it is basedon commodity production, it has brought it totally under the control of financecapital. The rise of banks has been instrumental in converting industrialcapitalism into finance capitalism. As Lenin noted, “This transformation ofnumerous modest middlemen into a handful of monopolies is one of thefundamental processes in the growth of capitalism into capitalist imperialism.”Accumulation of capital through appropriation of surplus value has to findavenues for profitable investment i.e. opportunity to further appropriate surplusvalue. Finance capital, through its enormous concentration, subordinatesand extracts maximum surplus from the real producers. In US, the three topbanks – Citigroup, Bank of America and JP MorganChase- have consolidatedassets of 5.6 trillion dollars, roughly 40% of the GDP of that country. Top19 banks in US have 2/3rd of total deposits showing the extent of concentrationof finance capital. This enormous concentration of finance capital has to findavenues for its self-expansion in the milieu of sluggish growth of production.It shifts to speculation. Sometimes “The economy becomes a bubble on awhirlpool of speculation.” (Keynes) Resolution of our last Congress (2004)

had noted “Its (speculative capital’s) role in the economic life of differentcountries is increasing and it has come to acquire the capacity to devastatethe whole economies.” (p. 2)

1.20 Hence, the speculative bubble economy was no accident but anecessary culmination of the accumulation of capital. It was their attemptto extract the maximum profit by inflating the value of speculatedcommodity and extracting its share by trading it against other commodities.US economy had seen a large number of such bubbles and their bursting,only this time it was on a large scale and had worldwide ramificationaggravated by imperialist globalization. Crisis after all, as Marx said, is but“momentary and forcible solution of the existing contradictions. They areviolent eruptions which for a time restore the disturbed equilibrium.”

1.21 The explosion of the financial economic crisis undermined theWashington consensus. Neoliberalism suffered a setback with imperialisteconomies pumping public money to save private profits, undertakingeconomic stimuli. going for unprecedented fiscal deficits and undertakingpublic works to boost demand. Keynesians and neo-Keynesians wereresurrected while crisis undermined the capitalist propaganda againstsocialism. With the crisis putting burden also on the middle classes andundermining of the economic model pedalled by US imperialism in particular,there has been growing middle class assertion both in the developedcapitalist countries as well as third world countries including India.

1.22 With Govts’ spending increasing to save the banks and shore upemployment, sovereign debts increased many fold and with it the Govts’liabilities. Larger economies could still hold out despite decline but thesmaller economies with smaller share of exports, particularly in Europewhere common currency Euro did not allow them to use monetary measuresto tide over, started falling e.g. Greece, Portugal, even Spain and Italy.With deficits increasing sharply, European Central Bank in league withIMF imposed austerity programme as condition for bailouts, cutting downGovt. expenditure, closing down several govt. departments, cutting downretirement benefits and other social security measures and even bringingdown wage rates both in public and private sector, to boost competitiveness.These programmes led to contraction in the economies (Greek economycontracted by a third) and high unemployment rates. Unemployment roseto 26.654 million by October 2013 in European Union and to 19.298 millionin 17 Eurozone countries. Greece had an unemployment rate of 27.3% andSpain 26.7%. The deepening debt crisis in Europe has led to sharp struggle

9 10

of the people against austerity programmes being imposed as well asattempts by European powers led by Germany to bring about closer unionand fiscal discipline as a price for bailouts.

1.23 World financial economic crisis affected third world countries withtheir rulers implementing imperialist dependent economic model, producingfor the market of imperialist countries and dependent on imperialist capitalfor economic development. The decline in demand in western imperialistcountries and attempts by western countries to further open third worldeconomies to goods and services from imperialist countries, affected thirdworld countries pushing a large number of people into unemployment,destitution, malnourishment and other hardships. The crisis has sharplyaggravated the principal contradiction i.e. between imperialism andoppressed nations and peoples.

War on terror grounded1.24 Utilizing 9/11 attacks the US rulers had embarked on global war tosecure world hegemony. They invaded Afghanistan and Iraq but met withstiff armed resistance from the patriotic people of these countries. Over4000 US soldiers were killed in Iraq and over 30,000 seriously wounded.Economists have estimated the total cost of war in Iraq to have gone beyond3 trillion dollars. People of Iraq remain steadfast in their opposition to thepresence of foreign troops in Iraq and forced US to withdraw its militaryfrom Iraq in 2011. Their invasion of Iraq, despite utter devastation of thiscradle of civilization, was a failure of their colonial drive.1.25 Despite troop surge, US attempts to subdue Afghanistan have failedwith defeat staring in the face of imperialist aggressors. Afghan armedresistance controls most of the rural areas of Afghanistan. US attempts tomaintain its presence in Afghanistan post end of combat role throughnegotiations with Taliban, has come a cropper. Domestic support for war inAfghanistan is declining in US. In fact, the power game in this centre ofAsia, the most populous continent of the world, has started moving fast tofill the ‘vacuum’. While US installed Karzai is making opposition noises,Pakistan - which cooperated with US imperialism in war against Pakhtunswho form the core of Afghan resistance and who constitute a significantsection of its population, inhabiting Khyber-Pakhtunkhwa, FATA andnorthern areas of Balochistan - has started sensing possibility of bringingits supporters to power in Kabul. Russia is consolidating its hold in northernareas of Afghanistan, which are inhabited by Tazhiks and Uzbeks whileIran is trying to strengthen its influence in western part inhabited by Shi’ite

Hazaras. US is trying to draw India into sharing military responsibilities inAfghanistan with obvious hesitation on part of India to increase its rolethough not wanting to let Pakistan become dominant there.

1.26 Failure of war in Afghanistan has prompted US Admn. to kill Osamabin Laden in Abbotabad, in a house near Military Academy, where he wasliving with the knowledge of Pakistan Army and also of US. Bush feignedignorance of his presence as he wanted to continue the war and Obamakilled him with Pakistan Army’s connivance to show victory in the war onterror, prior to announcing an end to combat role in Afghanistan. In May2013, Obama announced that goals of war on terror had largely been metand Al Qaeda had been irreparably damaged.

Decline of US Imperialism1.27 Faced with financial economic crisis and getting bogged down intwo wars, US imperialism had to change its rhetoric and tactics. Gone arethe neocon abrasiveness, Bush’s unilateralism and doctrine of pre-emptivestrikes. In 2008 Presidential election Barak Obama secured nomination ofthe Democratic Party on the strength of his opposition to Iraq war (when hewas Illinois Senator) tapping the anti-war sentiments of its support baseand defeated his Republican opponent on the people’s antipathy to Bush’srule with explosion of financial-economic crisis helping in securing an easyvictory. However, Obama Admn. in the first term changed the form but notthe essence of Bush policy. On the financial economic crisis, Obama hadrescued the banks with their toxic assets. His economic stimulus had taxcuts with increased Govt. expenditures, in the latter aspect differing fromBush policies. Obama policies did not and could not address the basiccause of this crisis. His economic policies increased Govt. debt while havinga limited effect on unemployment and could not address the issue ofstagnant wages. Obama could not address the underlying decay of themanufacturing sector in US though resorting to protectionism in jobs andtrade which was more for rhetoric as for every 10 jobs created by UScompanies abroad, 4 high paid jobs are created in US because R&D andfinancial management of these companies is concentrated in USA.

1.28 In international arena Obama continued from where Bush left.Obama’s all important appointees to handle foreign policy were hawks. Heintensified war in Afghanistan. In Iraq he tried to get Bush’s status of forcesagreement signed failing which US withdrew from Iraq in 2011. On Iran too,the policy of his admn. was built on emphasis on denying Iran right to

11 12

enrich Uranium under NPT. Obama made much noise about approachingthe Muslim countries, in particular about addressing the question ofPalestine. However, his approach had been high on rhetoric and low oncontent. Even the two state solution being propped up by US Admn. hingeson withdrawal of Israel to pre-1967 borders and honouring the right ofPalestinian refugees to return home as guaranteed by relevant UN resolution.On both these questions, Obama has made no commitment. The rightwing govt. of Israel denies the national rights of Palestinians and wishes tosecure ‘peace’ by terrorizing the Palestinians. Obama has not changedattitude towards Hamas which had been elected by Palestinians in the lastelection or towards Hezbollah which is a major force in Lebanon. The allianceled by Hezbollah had polled more than 53% votes in the last election thoughit failed to get majority due to electoral system there.

1.29 In Latin America too Obama Admn.’s approach had been only tochange the language but not the approach. US Admn. supported coup inHonduras and recently in Paraguay.

1.30 Though Obama Admn. continued with earlier US policies, failure ofits military adventures and deepening economic crisis and consequent warweariness among the people and economic hardships faced by them, Obama’seconomic stimulus programmes, health care reforms and giving up neo-conaggression abroad, carried him to an easy victory over Republican MittRomney in 2012 presidential election. Romney’s reversion to Bush era policieswas not supported by US people. There is increasing opposition tounilateralism, aggressions abroad and neoliberal policies at home. Tea Partymovement launched against Govt. spending particularly health care reforms,has not embraced large sections. However, differences between Republicansand Democrats particularly on health care reforms led to Govt. shutdown forover two weeks. Besides there is gradual demographic shift with Hispanics,Blacks and Asians constituting a sizable section of population among whomRepublican right does not enjoy much support.

1.31 While there is decline in the US position in the world, it has notgiven up its hegemonist ambitions. While it is not directly engaging in newwars, it is supporting and aiding its allies in unleashing war. Its role inNATO attacks on Libya to overthrow Gaddafi regime and in wars raging inAfrica are clear examples. Besides, attacks on individual liberties in USand other countries have continued. There has been big exposure of USsurveillance programmes against civilians in US and other countries andalso on Govts. of other countries.

West European Imperialist Countries, Russia & Japan1.32 Among European countries, UK has suffered the most in financial-economic crisis as well as due to its participation in US led invasions.Financial services constituted 8% of its GDP and 15% of its corporateincome. It also went through debt fuelled consumer spending. Its Govt.had to invest heavily in failing banks. Its borrowing needs are expected togrow to £ 703 billion by 2013-14. Its dreams of recapturing old colonialempire hanging onto coat-tails of US imperialism have come a cropper.

1.33 Germany, the economic power house of Europe, has also sufferedwith collapse of housing market and bank failures. Its economy alsostagnated due to financial economic crisis. However, it is better placedthan other European countries as exports account for 46% of GDP. Thisdependence on exports however makes it vulnerable to changes in theinternational economic climate. With several European countries facingsevere crisis, Germany is pushing for closer Union and fiscal discipline.The crisis has increased its influence in European Union. However, withdebt crisis deepening and economy shrinking, Germany too is going toface the heat as all these countries absorb large share of German imports.Germany is trying to increase exports to third world countries to offsetthis, China being one of its main targets.

1.34 France faced economic decline but slightly less due to larger shareof agrarian products. However, its industrial sector is faring badly. Toovercome its economic crisis, French Govt. is trying to increase its colonialloot and arms sales. It is adopting aggressive postures against third worldcountries and particularly in Africa, it has sent Army to Mali and isintervening in several African countries.

1.35 Italy too is in decline with national debt well over GDP. Irish, Greek,Spanish and Portuguese economies are in free fall due to collapsing housingmarket while Spain’s economy has also suffered decline.

1.36 Russia had suffered big financial slump prior to great recession. Itseconomy declined further during recession but could tide over due to lesspenetration of western financial institutions and its huge petroleum resources.Domination of state enterprises in the petroleum sector and large industriescontinues while some stabilization occurred after turbulent period. Conditionof workers and pensioners had deteriorated in the earlier period and capitalistshad amassed wealth by loot of public resources. Russian exports continueto be mainly of natural resources and arms. Unemployment continues to be

13 14

high while power continues to be wielded by representatives of bureaucratbourgeoisie along with private big capitalists.

1.37 Japan, third largest economy of the world, experienced long timestagnation and sharp fall during financial economic crisis. Japan’s economyis particularly illustrative of failure of bubble economy including housingbubble. Heavily dependent on exports, its economy went through stagnationin 1990s and attempts were made to come out of this through reduction ininterest rates. Public debt has risen to more than double of GDP with Govt.undertaking large fiscal stimulus. Japanese economy reached a plateauwith falling wages and falling exports leading to anaemic demand.Unemployment has reached 5.7% with over one third of workers ontemporary contracts. After the crisis of 1990s, the ruling party tried tobuttress support evoking national chauvinism, greater participation in USled military adventures and further privatization. While there is growingdomestic opposition to its participation in US led wars, Japan is the secondbiggest military spender. Shinzo Abe Govt. is increasing military spendingwith over $232 billion in new purchases over next five years.

1.38 Australian economy, which had experienced 17 years ofuninterrupted growth due to booming mining sector, is facing problems dueto slump in global commodity prices due to economic slowdown in Chinaand other importers of its products.

1.39 Countries of Central and Eastern Europe (CEE) once part of earlierSoviet empire suffered big decline. These countries have, with support ofUS and west European powers, embarked on the course of developmentwith imperialist capital flows from these countries and by producing fortheir markets. Exports were the key forming 80 to 90% of GDP of Czech,Hungary and Slovakia with Eurozone their biggest market. Net private capitalflows have fallen while their exports declined. These countries have highlevel of external debt and massive current account deficits. Due to EUcrisis, demand in west European countries is sluggish while there isincreasing resistance to absorb immigrants from east European countries.While EU is not admitting Turkey, its attempts to dictate terms to Ukrainehave been rejected by the Govt. there which has reached an agreementwith Russia.

Upsurge of people of Arab Countries1.40 Rule of despotic regimes backed by imperialist countries and theirfollowing of neoliberal economic policies putting the burden on the people,

resulted in people’s upsurge in Arab world in Western Asia and North Africa.These upsurges starting from Tunisia in December 2010 soon engulfed anumber of Arab countries, notably Egypt, and spread to Yemen, Bahrain,Jordan, Syria, Saudi Arabia and Libya. This upsurge also called “Arab Spring”targeted the autocratic regimes and was essentially for democratic rightsabetted by the worsening conditions of the people. It overthrew militarydespots in Tunisia and Egypt and became quite widespread in Bahrain andYemen. Most of these regimes were pro-US. Gulf monarchies with high oilrevenue and low population with most of the workers immigrant. Thesewere shaken by this upsurge and besides doling out money to citizens,suppressed people’s movements.

1.41 Gulf monarchies aided by US and Israel, tried to utilize people’supsurge against regimes not part of US led middle-east. Hence, US, otherwestern imperialist powers and Gulf monarchies directed it against Libyaand Syria. They pumped in lots of arms, money and fighters from outside.In Libya they could overthrow Gaddafi through their air strikes and militaryintervention and by utilizing divisions including tribal divisions amongpeople. But in Syria, their plans could not succeed as the regime had awider support base and also Russia and China did not allow UN platformfor their offensive action and Russia moved to counter their offensive action.Gulf monarchies, US and Israel also tried to drown this spring in the bloodbath of Shia-Sunni conflict targeting Iran as the main enemy in the region.Saudi rulers are apprehensive of Iranian influence as their neighbor Bahrainis a Shia majority state and even in Saudi Arabia, there is sizable Shiapopulation in eastern province where most of the oil wealth of the kingdomis located. Gulf monarchies and their western patrons want to build an oilpipeline through Syria and Turkey to supply Gulf oil to West Europeancountries thereby reducing their dependence on Russian oil. For RussiaSyria is the only Arab ally left. Hence, Russia came out strongly againstmilitary intervention in Syria. In the meanwhile, conflict between Saudi ledGulf monarchies and Qatar, Turkey and Muslim Brotherhood came out intoopen which led to military overthrow of Morsi Govt. in Egypt and clashesamong Syrian rebel forces. With US ultimately throwing its weight behindSaudi Arabia, Emir of Qatar where headquarter of US Central Command issituated, was forced to abdicate hours after Morsi was overthrown. Saudirulers are apprehensive of Muslim Brotherhood for its opposition to Saudiruling family. Middle east is seething with contradictions which are internalto these societies as well as with the inter-imperialist contradictions. WithUS plan to attack Syria which was as much for keeping its allies in fold as

15 16

to change the ground situation of civil war there, foiled, US was forced tostart talks with Iran where Rouhani had become the new President. WithUS failing to launch offensive against Syria and starting talks with Iran,Saudi rulers and the rebel forces have started attacking rival factions amongrebels in Syria. Free Syrian Army has suffered heavy losses. Saudis havepatronized an Islamic Front there to keep Al Qaeda at bay and increasetheir influence in Syria. US dream of birth of new middle-east is beingrealized but in a way not to their liking.

1.42 In Arab countries, the two dominant social forces are military andclergy and they have wielded power alternately in Egypt. Military remains apower centre and had come to power in the period of Arab national awakeningin post-second world war period. However, in post Camp David period thesemilitary dictatorships aligned themselves with US imperialism thereby losingwhatever popular appeal they had. Progressive forces, though playing theirrole in Arab upsurges, are yet not a decisive force like military and clergyaligned with business interests. Trade Unions played a major role in themovement in Tunisia. Recently in Tunisia, GATT (Confederation of tradeunions) forced the political parties to come to an agreement after recentkillings of progressive leaders made people demand resignation of EnnahdaGovt. there. In Egypt progressive youth and workers were a force but Armyhas staged a comeback to power ostensibly against Muslim Brotherhoodutilizing people’s disenchantment with MB agenda. The progressive forcesin Arab countries are bound to increase if the people’s participation inshaping the developments in these countries continues and increases.

Offensive against third world countries1.43 Beset with their deep-seated economic crisis, the westernimperialist powers are intensifying their offensive against third worldcountries. Continued crisis has exposed their mutual divisions on the onehand, their incapacity to address the crisis all alone on the other. G-8 hasbeen expanded to G-20 (including EU) to rope in some other importanteconomies. This is a recognition of the declining influence of westernimperialist powers and also of their desire to push the burden of the crisisonto the shoulders of other countries.

1.44 While in the immediate aftermath, there was some flight of imperialistcapital to parent countries as banks and companies withdrew money tobalance their books, imperialist capital has to seek and is seeking moreprofitable avenues for their investments. They wish to conclude Doha round

forcing further opening up of the markets of third world countries withoutallowing corresponding benefits to the products from third world countries,they wish to continue their agricultural subsidies while forcing third worldcountries to abolish them, they wish to open the financial sector of thirdworld economies to increase their profits, in brief to further prospects fortheir investments. Obviously this offensive is being opposed by people ofthird world countries. Even govts. of some of these countries are opposingsome aspects of this offensive. Recently in Bali, imperialist countries wereable to force their way on trade facilitation while giving only conditional andtime bound relaxation in agricultural subsidies to meet the requirements ofexisting food security measures. Their concern for Least DevelopedCountries is only token.

1.45 There is increasing drive of giant MNCs of imperialist countries totake over areas of rich natural resources and also to take over land in thirdworld countries for agriculture. Subservient govts. of third world countriesare collaborating in this. Between 2006 to 2009, either directly throughgovts. or through companies or funds, they had grabbed 37 to 49 millionacres of farm land in developing countries. Imperialist countries particularlyUSA, are trying to dominate the world food market pushing in GM cropswhich have ill-effects on the health of people.

1.46 Imperialist countries are trying to throw the burden of addressingclimate change onto the shoulders of third world countries and are devisingstrategies to continue their domination of the world markets. It is the westernimperialist powers who are mainly responsible for the damage to the climateas they are the main emitters of greenhouse gases. Turning a cold shoulderto discussion on climate change during Bush years, US Admn. joined theinternational talks. Imperialist countries propose curbs on the emission ofgreenhouse gases taking the present status as the starting point, blameChina and third world countries including India. Their proposals go againstthe third world countries in general and countries like China and India inparticular. How lopsided are their proposals can be seen from the fact thateven now average greenhouse gas emission in India per capita is one fifththat of European countries and only one tenth of that of America. USA withonly 5% population of the world is responsible for 25% emission ofgreenhouse gases. Moreover they are pushing carbon bank wherebydeveloped capitalist countries can trade off their greenhouse gases’emissions against payment to oppressed countries thereby keeping thembackward and dependent. Imperialist countries are the main stumbling block

17 18

in addressing climate change and the recent UN conference in Warsawwas limited to formal work for a proposed accord in 2015.

1.47 Climate change is obviously an issue which needs to be addressed.Greed of capitalists has been the main cause of devastation of environment.Last two centuries of unbridled, unplanned and wasteful exploitation ofnature has resulted in such unsustainable conditions while earlier centurieshad had relatively little effect. It is here that inadequacy of capitalist systemand dangers posed by its insatiable greed stand exposed. Socialist system,with its emphasis on needs of the people and planned approach towardsproduction and development, is immensely superior to capitalist system inaddressing climate change. Determined struggle is needed to thwart theconspiracy of western imperialist countries to impose their will on thirdworld countries while overthrow of the imperialist system is necessary foraddressing the issue in entirety. Humanity has reached a stage where naturalresources necessary for human life are not practically unlimited andinexhaustible. Hence the struggle to overthrow imperialism must gain urgencyeven on this score.

1.48 Imperialist countries particularly US imperialism are continuing totarget third world countries resisting their diktats. Non-proliferation, humanrights, democracy are the catch words applied to suit their strategic objectives.North Korea and Iran are being targeted for their nuclear programme. WhileUS has stationed a huge stockpile of nuclear weapons on Korean peninsulaand is continually threatening North Korea, it is trying to isolate that countryfor standing up to US threats. With regard to Iran, US and western imperialistpowers attempt to prevent Iran from developing nuclear technology. Buttheir attempts have not succeeded as recent interim agreement was reachedin Geneva where temporary freeze of nuclear programme by Iran and partiallifting of sanctions by western powers were agreed to pending a final agreementto be reached within a year. Western powers have been forced to agree toenrichment rights of Iran within an agreed framework. In fact the wholedispute about Iran’s nuclear programme should be seen in the backgroundof US and its allies’ desire to keep the oil rich region under their control. Itis also noteworthy that US ally Israel has large nuclear arsenal. Israel andpro-US kings are the two pillars of US domination over this biggest producerand reservoir of petroleum in the world.

1.49 In Latin America, US imperialism is trying to counter a massiveanti-US wave sweeping these countries. US is supporting pro-US regimeslike Colombia, Peru, Panama, Mexico and the like while conspiring against

the govts. opposing its domination. US has reached a deal with Colombiaallowing it to set up military bases in that country to be used against othercountries and revolutionary movements. At stake is the rising popularopinion to not let US monopolies extract huge profits from their resources.US has vast influence in these countries and big sections of propertiedclasses brought up on the loot and plunder by US companies are pro-US.Besides it has influence in the leadership of armed forces in these countries.US has large investment in Latin America (over 300 billion dollars) and isthe biggest trade partner though other imperialist powers are also increasingtheir share and that too rapidly.

1.50 Africa with its vast resources of oil, gas, timber, uranium, diamonds,gold and mineral resources has become the new hotspot of imperialistaggressions and inter-imperialist contradictions. Imperialist countries areutilizing tribal divisions and pitting one country against the other to lootand plunder this vast continent. Northern and northeastern part of Africaare contiguous with West Asia and are Arab dominated. The sharpeninginter-imperialist contradictions have resulted in raging wars in this continent.Central Africa, West Africa and northeast Africa- almost all regions of Africaare aflame. France invaded Mali. Imperialist powers are behind all theclashes and wars in the continent. US, UK, France and China are majorplayers in the region though Russia and other imperialist countries alsohave big stakes.

1.51 Third world countries have suffered heavily due to their dependenceon imperialist capital and export led growth. Toil of their people and theirnatural resources are being robbed by imperialists in league with theircomprador rulers. Even in Arab countries rich with petroleum two out ofevery five people live on less than $ 2 per day. Economic exploitation andplunder, military aggression, subversion and intimidation are being resortedto by imperialist countries resulting in abysmal and deteriorating conditionsof the overwhelming majority of the people of these countries.

Intensifying contradictions among imperialist countries inMultipolar World1.52 In the backdrop of the declining condition of US imperialism, thecontradictions among imperialist powers are intensifying. Contradictionsamong imperialist powers, which were earlier mainly confined to trade andeconomic spheres, are now coming into military sphere. Other imperialistpowers are coming forward to challenge US imperialism. The unipolar world

19 20

has given way to multipolar world though US continues to be the biggesteconomic and military power among the imperialist countries. It is thenational struggle of the people of the countries which are victims of USaggression which has hastened this change though the underlying causeis the steady decline of economic power of the US over the decades. It isthe operation of the principal contradiction at present which has beenresponsible for this change. US continues to be the main trouble maker inthe world and hence main target of world people’s struggle.

1.53 Contradictions among imperialist powers are developing on allfronts. While western imperialist powers have unity on the question ofpushing trade pact unfavourable to third world countries and in attackingoil rich countries like Libya, they have their sharp differences too. G-20summits clearly demonstrated these differences where Germany andFrance strongly opposed US-UK drive to push through enhanced economicstimulus, rather they focused on regulation of bank bonuses and tax havens.European countries also differed when America wanted them to retaliateagainst Russia for its war with Georgia. West European countries aredependent on Russia for large part of supplies of gas which is vital forthem. West European countries with US support are trying to developalternate route of supply of Caspian oil. France has difference of interestwith USA in Africa while it is trying to enlarge its role in middle-east utilizingthe difficulties of US imperialism there.

1.54 In the aftermath of financial-economic crisis, there is increasingattack on the domination of US dollar as the international currency. Govts.of different countries held 61.9% foreign currency reserves in dollar withEuro accounting for 23.8% and Yen 3.8% (Q2, 2013) among allocatedreserves. In the G-20 meeting, China and Russia mooted the proposal tofloat international currency in place of dollar on the lines of IMF’s SDRwith increased weightage to their currencies. Replacement of dollar asinternational reserve currency will put a lot of strain on US economy.

1.55 The drive of US and other western imperialist countries to shift theburden of their crisis onto other countries utilizing their domination overworld markets and financial institutions and increasing protectionism intheir own markets, has led to rise of economic bloc of different countriesin which Russia, China and some of the larger third world economies- India,Brazil and South Africa are participating. BRICS is playing an increasingimportant role though there are also divisions among its participants ontheir attitude to western imperialist powers.

1.56 Different imperialist powers are mounting challenge to US effortsto dominate different regions of the world. While old European powers wantto secure their control over unified Europe through European Union andstrive to increase their share in the world market and resources throughNATO as well as on their own, Russia is seeking to get control over asmuch part of old Soviet empire as possible. It also seeks to play a greaterrole in different parts of the world. China has emerged as another centre ofpower, enlarging its role in east, southeast and central Asia while going allout to secure its energy sources and mineral resources.

1.57 Russia, on the strength of its rich oil and gas resources andweakened position of US imperialism, has started to assert itself. Militaryretaliation against Georgia signalled end to retreat by Russian imperialism.It has revived the superpower era practice of global voyage by its militaryaircrafts. With virtual taking over of South Ossetia and Abkhazia, Russiahas extended its control to very close to alternative oil pipeline from CaspianSea. Russia is exerting all efforts to ensure its monopoly over supply of oiland gas to European countries and is utilizing its oil and gas supplies toEurope to divide the European countries in their opposition to Russia. InUkraine with its close historical and economic ties to Russia, contradictionbetween Russia and western imperialist powers is getting acute. Russia’srecent buying of Ukrainian bonds worth $15 billion and reducing gas pricesby one third, are part of its efforts to bring Ukraine back into its fold. Russiahas also increased its military expenditure though it still lags far behindUSA in this respect.

1.58 While Europe continues to be the main arena of Russian imperialistinterest, Russia has increased its efforts to expand its influence in otherparts of the world. Russia along with China and including central Asianrepublics has floated Shanghai Cooperation Organization to counter theinfluence of US and its allies. With its geographical and historical ties withCentral Asia, Russia is well placed to counter US attempts to increase itsinfluence in Central Asia. With US and its allies drawing down their war inAfghanistan. Russia is increasing its role and in particular trying to dominatethe northern part. Russian imperialists have no sympathy for the nationalwar of Afghans, they wish to enlarge their own role in the region.

1.59 In the middle-east Russian assertion has been much in evidenceand Russia has gained initiative. It has stood against US intimidation andthreats to Syria, increased its military presence in Mediterranean and playedan important role in dissuading US from launching airstrikes against Syria.

21 22

It also forced US and western countries for Geneva II meeting on Syria. Ithas close ties with Iran and has played an important role in recent interimagreement on Iran’s nuclear programme. Russian govt. is planning toconvene a peace conference on Middle-east to tap the anger among Arabcountries against US policies. Russia has also increased its initiative toexpand its influence in Latin American countries and is forging closer militaryties with countries whose rulers are opposed to US imperialism. It hasrevived its ties with Cuba while forging closer ties with Venezuela, Bolivia,Ecuador and Nicaragua. Russia is also trying to increase its influence inAfrica where contention among imperialist powers is becoming particularlyacute. Reviving its ties with earlier soviet-era allies in Africa it is trying toreach out to other African countries. Though middle-east developmentsmay show some elements of old bipolarity, Russia is not in a position tosingly contend for world hegemony and moreover other countries haveemerged.

1.60 USA is facing increasing competition from China. While US forgescloser relations to share in the cheap labour and vast markets of China, itis also strategically trying to shore up alliances to contain the rise of Chineseinfluence. Indian rulers along with Japan, South Korea, Australia have beenpart of the US led drive to contain Chinese influence and set up PSI(proliferation security initiative).

1.61 While talking of peace, the imperialist countries are developingtheir armed forces and modernizing their nuclear arsenals. Global militaryspending is estimated to have reached $ 1,756 billion in 2012, roughly2.5% of the world’s GDP. US military accounts for 39% of world’s totalfollowed by China (9.5%), Russia (5.2%), UK (3.5%) and Japan (3.4%).Russian expenditure is less than during its superpower days. USimperialists are the biggest arms merchants with its companies Boeingand Lockheed Martin among the biggest sellers of arms in the world. Itsglobal arms sales amounted to $9.984 billion in 2011 while that of Russia$7.874 billion and France $2.437 billion. They are selling arms to thirdworld countries and fomenting troubles in the world. While World War isnot imminent, its danger is very much there.

China Becomes Social-imperialist1.62 Soon after the death of Com. Mao, the rightists in CPC seizedcontrol of the Party and the state, reversed the earlier direction of CPC,called off GPCR and targeted the revolutionaries inside the Party. Victory

of revisionists in CPC was complete in Third plenary session of eleventhCentral Committee in 1978 as summarized in our 1992 political resolution.With a series of measures dissolving communes and privatizing the land,encouraging the private entrepreneurs and inviting imperialist capital dolingout cheap labour and vast market as the bait, capitalism was restored inChina. China now has a vast private sector with largest number of personsjoining the list of billionaires in the world.

1.63 In the decades following the restoration of capitalism, Chinese rulingbourgeoisie focused on appropriating the surplus of vast Chinese workingclass and toiling peasantry. They systematically built up private industries,opened SEZs to short-circuit the gains made by the people in the socialistera to intensify exploitation and oppression of the workers. Chinese rulersstressed on economic development and political stability to completerestoration of capitalism which they called market socialism with Chinesecharacteristics but which in fact was capitalism with Chinese characteristics.They had learnt the lessons from the restoration of capitalism in erstwhileSoviet Union and stressed on the evolution of Chinese private capitaliststo develop them as a ruling class. With revisionist Deng Xiaoping Theoryand later frankly bourgeois theory of three represents practically replacingMarxism Leninism Mao Zedong Thought, Chinese ruling bourgeoisie utilizedits control over the vast public sector to ‘enrich itself’. They opposed therevolutionary communists, though some among them followed the lead ofChinese revisionists turning into revisionist outfits themselves. In the earlierdecades the ruling bourgeoisie followed the policy of collaborating with theimperialist powers in the name of securing stable international environmentfor the growth and development of capitalism in China. They supportedintervention and aggression of imperialist powers against third worldcountries.

1.64 Gradually usurping the fruits of labour of the toiling masses of Chinaand collaborating with imperialist capital in extracting surplus, the Chinesebourgeoisie backed by the Socialist era development of vast humanresources, infrastructure and markets, utilized cheap labour and vast naturalresources to develop China into a workshop of Chinese and foreigncompanies flooding world markets with cheap Chinese goods of massconsumption. China has become the largest automaker surpassing USA.Imperialist capital migrated to China on a large scale with China outstrippingother countries as the favourite destination of FDI. With trade surplusburgeoning Chinese bourgeoisie invested it in securities and T-bills of US

23 24

and other imperialist countries. GDP of China surpassed that of a numberof imperialist countries and it became the second largest economy in 2010though in terms of per capita GDP it still remains low.

1.65 While the lot of Chinese workers and peasants continued to worsen,Chinese bourgeoisie kept on growing in league with imperialist powers.With time the Chinese bourgeoisie grew fairly powerful amassing huge surplusand started looking for avenues for investment of this surplus to secureraw materials, energy sources and markets for their products. China joinedthe league of imperialist powers in subjugating the economies of third worldcountries to its own interests supplying China with oil, gas, timber, mineralsand other raw materials and China in turn supplying them with finishedgoods and machinery. Bourgeoisie of a number of third world countries tooinvest in other countries but they do so in league with imperialist bourgeoisieto take a share in the exploitation while Chinese investments are in theinterest of Chinese capitalism and in a way in competition with the monopolybourgeoisie of other imperialist countries.

1.66 Over the last decade the Chinese trade surplus grew enormously.Chinese trade surplus with US was $ 84 billion in 2000 which grew to $ 266billion in 2008 and remained high even thereafter. Foreign exchange reservesof China grew to $3.557 trillion as on June 20, 2013. Exports constituteroughly 41% of the GDP, only Germany and earlier Japan had a largershare of exports in their GDP. With domestic consumption accounting foronly 36% of GDP, conditions of Chinese workers and toiling masses isabysmal. Real demand emanating from domestic source continues to below. People earning less than $1 a day doubled in China over the lastdecade with more than 400 million seeing their incomes decline. HoweverChinese economy relied more on production and less on income fromfinancial services and the impact of the world financial economic crisis isdue to shrinkage in demand in western economies. Chinese rulers embarkedon huge economic stimulus with 1/4th to 1/3rd of this new lending going tostock market and real estate speculation with a construction boom.

1.67 With huge trade surplus and accumulation of money capital, Chinesebourgeoisie have systematically invested in third world countries. Theirinvestments abroad grew 30% in 2012 and are expected to rise further in2013 by 15% to 88.7 billion dollars. Their global investments and contractshave totaled 688 billion dollars. In 2012 China surpassed USA as the biggesttrading country of goods with total exports and imports worth $3.87 trillioncompared to $3.82 trillion of the USA. China has been world’s largest exporter

of goods since 2009. Chinese investments are primarily in resourcedevelopment, communication, information system and other IT servicesand wholesale and retail trade. Chinese have invested in oil explorationand development of oil and gas fields in Middle-east and African countries.In Middle-east China has emerged as a big trading partner (8.3% of marketshare in 2005) and is in contention with western imperialist powers. Iran isthe top oil exporter to China from middle-east and China has emerged asits second biggest trade partner.

1.68 China has paid much attention to African countries and has alreadyemerged as their third largest trade partner after USA and France. Africawith abundant supply of oil, timber, copper, minerals and diamonds is alucrative investment area for Chinese bourgeoisie. China hosted AfricaSummit in 2000 which was attended by leaders of 48 African countries andChina committed $ 5 billion in loans and aid to African countries. More than500 Chinese companies are active in African countries. Chinese trade withAfrica has registered many fold increase with close relations with Sudan,Chad, Nigeria, Angola, Zimbabwe, Algeria, Gabon and Guinea.

1.69 China has also strengthened its relations with Latin Americancountries and has sharply increased its investment. Its investment hasincreased to $ 8 billion and its trade with Latin American countries wasthird largest at $ 50 billion in 2005 and has grown much since. It has emergedas the largest trading partner of Brazil and Chile. Though its investment issmall as compared to US ($300 billion) but its rate of growth is very high.China has developed trade and investment in Chile, the largest producer ofCopper, with $ 4.6 billion of Chilean goods, mostly copper, coming to China.China has also developed trade and investment in Bolivia, Venezuela andother Latin American countries mostly in oil and minerals.

1.70 Having restored capitalism in China, the Chinese ruling bourgeoisiehas embarked on developing zones of investments for its capital mainly tosecure energy, minerals, timber and the like natural resources. Itsinternational role is also undergoing a change. Its status as a permanentmember of the Security Council also helped it in securing influence in anumber of countries. It is a major player in Shanghai Cooperation Councilit set up with Russia and Central Asian republics which is challenging theUS attempts to increase its influence in the region. It is opposing furtherUS sanctions against Iran and North Korea and has opposed US on Syria.

1.71 China is developing its armed forces and sharply increasing

25 26

expenditure on military. It is developing a string of ports in Indian Ocean tosecure its trade routes. It is stationing its navy in Indian Ocean, ArabianSea and off the African coast while increasing its control over South ChinaSea and parts of Pacific. China is becoming assertive in relation to itsneighbours particularly in relation to its control over South China Sea andmaritime areas. China is developing alliances with other countries to foilUS attempts to encircle it. Its increased opposition to US manoeuvres isalso in the interest of securing its imperialist interest- raw material andenergy sources and markets. Its role has assumed global dimensions andit has joined the league of imperialist powers.

1.72 In the recently held third plenum, CPC leadership has decided tocontinue with its capitalist policies with a new starting point, giving “decisiverole” to the market in resource allocation and focusing on “innovativecorporate structure” to handle state enterprises. This plenum also dealtwith financial reforms for faster development of equity, bond and derivativemarkets and lower equity barrier to allow private capital to enter financialmarkets, thereby allowing greater participation of private capital in financecapital of China. Giving final burial to remnants of rural collective land, theplenum decided to allow its transfer and develop land markets for businessby 2015. This plenum assumed significance as the contradictions in Chinesesociety are sharpening and getting reflected in CPC as well, hence it becamenecessary for the CPC leadership to reiterate the course taken by it.

1.73 Capitalist China has emerged from the degeneration of a socialiststate. Chinese bureaucrat bourgeoisie had seized the centralized economywhile private monopoly bourgeoisie has also risen speedily. Thesemonopolies concentrate industrial production in their hands. Chinese banksconcentrating money capital are also under their control and in their service.With this banking and industrial monopoly, the financial oligarchy in Chinaplays a decisive role in its economic life. Chinese bourgeoisie are exportingcapital and carving out zones of investment in Asia, Africa and LatinAmerica. They are trying to carve out their sphere of influence in the world.As China is a new entrant in this arena, it has to contend with alreadyestablished powers having their areas of influence, going somewhere incollaboration with some imperialist powers and contending with otherimperialist powers at other places. It has developed into a social-imperialistcountry i.e. socialism in word and imperialism in deed as China calls itselfa socialist country.

1.74 With capitalist restoration of China, multinational China is

witnessing rise of Han chauvinism which Com. Mao continuously warnedagainst. National minorities in China are facing marginalization as ChineseHan bourgeoisie monopolize all sectors of economy and Hans migrate inlarge numbers to areas of national minorities threatening demographicchange and marginalization of their national characteristics. Uprisings ofUighurs in Sinkiang and Tibetans while having international backing alsohas roots in the national oppression in China.

South Asia a hotspot of inter-imperialist contradictions1.75 US invasion of Afghanistan had little to do with Al Qaeda or terrorthreat though US imperialism used 9/11 for this. They launched thisaggression to capture the strategic centre of Asia. Contradiction betweenUS imperialism and Taliban rulers had been growing over the dispute overoil pipeline from Caspian sea. Subsequent invasion of Iraq further provedthat this war had little to do with eliminating ‘terror’ but everything to dowith strategic objectives of US imperialism to secure its world hegemony.With the then unipolar world other imperialist powers did not confront USimperialism but chose to be part of this aggression and carve out theirshare in the US dominated world e.g. Russia sent its troops to the northernparts of Afghanistan. The main thrust of this war has been to dominateSouth Asia and make a strong US military base to check the influence ofRussia and China. But the fiercely independence loving people ofAfghanistan which has been the burial ground of world conquering ambitionsfrom Alexander and Chengis Khan to British colonialists and Soviet socialimperialists, delivered devastating blows to the invading imperialist forces.Taliban rulers, faced with a vastly superior military force, chose not toengage in positional warfare but prepared for the guerilla warfare whichsuited the balance of forces and terrain. Like with invaders earlier, conquestwas easy but the subduing of the people extremely difficult with porousborder and strong tribal ties among Pakhtuns on both sides of border (carvedout by British colonial rulers of India after conquering plain areas inhabitingPakhtuns). With war against foreign invaders developing, Pakhtun areas inPakistan too became targets of US led military attacks. With the connivanceof Pakistan govt. and army, US launched drone attacks in Pakistani areaskilling a large of civilians. Gradually this war involved Pakhtun areas ofPakistan as well and it became war of Pakhtuns on both sides of the border.

1.76 The PPP Govt. which came to power in 2008 after US brokeredagreement between Musharraf and PPP leadership, continued cooperationwith US led invasion and Pakistan army participated in the war on their

27 28

side of the border. The US led war started being characterized as Af-Pakwar involving both Afghanistan and Pakistan which signifies US designs tobring Pakistan, armed with nuclear weapons and having delivery capacity,too under their direct control. People of Pakistan strongly opposed thiswar. However the growing national war in Afghanistan brought large areasunder the control of the forces fighting against foreign invasion and rule ofUS imposed Govt. reduced to around capital Kabul and some other towns.

1.77 Obama Admn. increased its troops in Afghanistan. Casualties amongthe invading troops rose while their retaliatory attacks against civilians ledthe overwhelming people to oppose this invasion. In face of this ‘unwinnable’war, the domestic support for this surge evaporated. In this situation Obamaannounced end to combat operations from 2014 but would like to keep sometroops and military bases in Afghanistan and is proposing Bilateral SecurityAgreement for the purpose. Indian rulers are opposing US decision ofwithdrawal. They had sent some troops there in the name of providingprotection to ‘development’ works undertaken by them. Though new Govt.has come to power, US drone strikes continue within Pakistan. China on theother hand is trying to work through Pakistan to contain disturbances inSinkiang and to exploit mineral wealth of Afghanistan.

1.78 US imperialism is increasing its military presence in the IndianOcean. For this they are pursuing Proliferation Security Initiative (PSI)which is outside the ambit of UN. In the name of checking ships forpreventing transport of weapons and parts that can be used for them, theywish to control the sea routes of Indian Ocean. US Admn. has roped inIndian rulers in this along with Japan and Australia. Obviously, this moveis aimed against China which is taking counter measures. South Asia isbecoming a hotbed of intensifying contradictions among imperialist powers.Indian rulers’ participation in US drive to contain China is one of the maincauses behind this.

Workers’ Movement in Capitalist countries1.79 Struggle of working class in developed capitalist countries,particularly of Europe, had been going on against the attack of monopolieson the wages, social security and rights of the workers. These movementshad targeted meetings of international financial institutions e.g. IMF, WorldBank and G-8 meetings and there were big mobilizations in thesedemonstrations in which social democratic parties and NGOs alsoparticipated. However, the ruling classes of these countries sought to

redirect this anger of workers and unemployed youth into anti-immigrantand national chauvinist channels.

1.80 With the explosion of world financial-economic crisis and its effectson the workers - losing jobs and attacks on their rights –and the subsequentsovereign debt crisis and austerity measures closing down govt.departments, cutting down pension and other social security benefits, wagesboth in govt. and private sector, there have been big movement of workers,unemployed youth and students. Unemployment reached double digits anddim prospects for future drew students into movement. A series of riotserupted in Latvia, Lithunia, Bulgaria against this crisis while people’sprotests forced Iceland govt. to resign. A big movement of workers, youthand students erupted in Greece. Lakhs of people joined in demonstrationswhile workers observed unprecedented strikes. France observed bigdemonstrations with schools, railroads and banks closed. Millions of workerscame out demanding wage increases, purchase power parity and repeal oftax reforms. In Britain workers demonstrated against job losses demandingjobs for British workers. Big demonstrations of workers were held in Russiaagainst the effects of crisis on working class. Working class movementsand rallies were held in Italy, Spain and other European countries as well.

1.81 For the last few years May Day has become a day of workers’protest against burden of the crisis being thrown on to working masseswith slogans against capitalism renting the air with millions of workersparticipating. In France, Germany and other European countries, bankswere attacked during May Day demonstrations. In Greece economic crisishas led to political crisis ultimately forcing all ruling class parties to cometogether to fulfill the terms of bailout while opposition of the people remainsstrong. In Italy as well anti-austerity movement has gained strength.However, even where anger of the people brought about changes throughelections, the parties coming to power on their strength betrayed theworkers.

1.82 Despite such big protests, struggle of workers in developedcapitalist countries remains concentrated on economic issues- job lossesand attacks on social security. This anger is sought to be channelized intochauvinism by ruling classes targeting immigrant workers. There is rise ofneo-fascist parties in Europe. The workers’ struggle in these countries hasto come out of narrow economic confines and target the imperialist systemitself. Ruling bourgeoisie of imperialist countries had reached social compactwith their workers for class peace to intensify exploitation of third world

29 30

countries. Workers of developed capitalist countries must not accept crumbsthrown from the large parties of loot and plunder and must forge alliancewith national struggles and liberation movements of people of third worldcountries. It is these struggles which are delivering serious blows toimperialist system. They must strike against their own bourgeoisie andoppose their exploitation and oppression of people of oppressed countries.They must realize that maximum profits gained by imperialist monopoliesin third world countries allows their ruling bourgeoisie to continue theiroppressive and exploitative rule over them. The national struggles andliberation movements of oppressed countries are preparing the ground forintensification of workers’ struggle in developed capitalist countries. “Ifyou want to avoid civil war, you must become imperialists” said CecilRhodes. For the workers of imperialist countries it is imperative to opposeimperialism to launch revolutionary war.

Struggle of people of oppressed countries1.83 Oppressed countries and nations of Asia, Africa and Latin Americacontinue to be the storm centres of world revolution. The struggle of thepeople of these countries is assuming varied forms. There are liberationstruggles of the people led by the revolutionary communists, there arenational wars of the people of the countries subject to imperialist aggressionand there are struggles of the sections of ruling classes in these countriesagainst imperialist subversion, intimidation and blackmail. All these strugglesform the totality of their struggle against imperialism. The struggles of thefirst category are the most steadfast struggle against imperialism andreaction while struggles of second category have dealt the most seriousblows at imperialism, particularly US imperialism.

1.84 Latin American countries have become a front against USimperialism. While US imperialism continues to wield considerable influenceand has a number of govts. run by their supporters, a massive wave ofanti-US anger sweeps Latin American countries successively electing anumber of govts. opposed to US imperialism e.g. Venezuela, Bolivia,Nicaragua, El Salvador and to some extent several other govts. resist USdomination. These countries have developed relations with other imperialistcountries i.e. European powers, Russia and China. They have also forgedcloser relations with Cuba and some of them with Iran also. It is an indexof change of mood of the people that Organization of American States(OAS) adopted a resolution inviting Cuba to be a member revoking a decisionof 1962. These countries, backed by rising prices of their natural resources,

have adopted redistributive strategies without changing the state structure.A section of their elites opposes this. While these regimes are adoptinganti-US policies forging closer relations with other powers and diluting thepower of the elite aligned to US imperialism, they are at best reformistsand their reformism has limits. The Govt. of Brazil, the biggest country inLatin America, though winning elections on anti-US platform, has beenpursuing a compromising policy towards US imperialism even while tryingto enlarge its role in Latin America. Obama Admn. has given up someearlier rhetoric and eased some sanctions against Cuba.

1.85 In a number of countries like Colombia, Peru and Argentinarevolutionary forces have some strength and have presence in almost allthe countries of Latin America. After some setbacks and loss of someestablished leaders, FARC in Colombia has regrouped and controls largeparts of the country. Despite strong US military aid and all out attack,Colombian govt. is not able to seriously dent their strength. Struggles ofworkers and agricultural labourers are continuing in Argentina and Braziland those of peasants in Peru.

1.86 In Africa people continue to groan under abysmal level of povertyand destitution despite the continent being rich in natural resources. Longhistory of colonialism and loot of mineral wealth and labour, tribal, religiousand ethnic divisions exploited by imperialist powers, rule of compradorrulers who have continued and developed dependence on imperialist countries,are responsible for these conditions. The regimes that are not willing todance to the baton of US and other western imperialists e.g. Zimbabwe,Sudan, Somalia are demonized and sanctions imposed on them. Internationalinstitutions are being used to pressurize govts. of these countries andwestern powers are using their internal division to the same end. Somaliais an example where US is trying to militarily control this strategically situatedcountry. While it had to withdraw its own troops it encouraged neighbouringEthiopia and then Kenya to invade the country. In African countries there isstruggle to control their own resources. Intensifying contradictions amongimperialist powers is being used to an extent by the rulers for this purpose.South Africa, the largest economy of the continent, is contracting and thecondition of the people is deteriorating. There are struggles of workers andgovt. employees in some of these countries.

1.87 Middle-east continues to be the arena of US drive to control the oiland gas resources of the region and in this region US domination is facingserious challenge from the people and also some govts. Israel continues

31 32

to be the mainstay of US policy while autocratic kings are the other pillar ofthe US influence. Israel’s brutal war against Hamas ruled Gaza, killingover one thousand unarmed civilians, was not even condemned by US andwestern powers. The struggle of Palestinians for their national rightscontinues to be the touchstone of people’s struggles in the region and iswinning support of the Arab masses. There is a strong bipartisan supportto Israeli expansionism in the US congress. However it is the struggle ofPalestinian people, strength of Hezbollah and anger in the Arab street whichis forcing US Admn. to address the issue in the first place. Besides upsurgein the Arab people’s struggles, failure of the US, its western imperialistallies, Israel and Gulf monarchies to topple Assad in Syria and to isolateIran has led to divisions among US allies in the region which have increaseddifficulties of US imperialism.

1.88 In Asian countries the people’s struggles are advancing. There isgrowing struggle of the workers in east and southeast countries like SouthKorea and Philippines. Struggle of the people is advancing in India, Nepal,Bangladesh and other countries. People’s war in Nepal followed by People’sMovement led to abolition of monarchy there. In India the people’s strugglesand resistance to armed attacks of reactionaries is advancing and rallyingthe people in revolutionary movement. Revolutionary communists areincreasing their strength and initiative. The struggle of the workers andpeasantry are unfolding in a number of Asian countries against imperialismand domestic reactionaries. People of Pakistan continue to oppose US ledwar and drone strikes.

1.89 Govts. of several countries are resisting pressure of imperialistpowers particularly US imperialism. In several third world countries thecontradiction between imperialism particularly US led western imperialistsand the nation on the one hand and the contradiction between ruling groupand the people as well as the contradiction between sections of ruling elitesare being played out. While we support the Govts in their resistance toimperialism, we also support the struggle of the people against these regimes.

1.90 Imperialism is going through deep crisis and inter-imperialistcontradictions are intensifying. However there is no socialist country/iesor world revolutionary centre. The struggle of the people of third worldcountries are intensifying and also assuming different forms. These arealso being led by different class forces. Wars and struggles againstimperialist aggressions, subversion, intimidation and blackmail are of onekind and have different class forces even comprador sections, while

struggles against imperialism and their domestic reactionary allies are ledby revolutionary communists though these are at different stages ofdevelopment. In the present international situation, these two types ofstruggles have both unity and struggle i.e. unity against imperialism andstruggle against reaction. Thus revolutionary communists face a complexthough favourable situation for developing revolutionary movement.

1.91 With imperialism mired in deep financial-economic crisis, the failureof economic models being projected by it and exposure of its economictheories, the decline of US imperialism and resultant advent of multipolarworld, intensification of contradictions among imperialist powers and theirscrambling for sources of raw materials, zones of investment and markets,the intensification of the offensive of imperialist powers against third worldcountries and their own workers and resultant intensification of strugglesof people of third world countries and the upswing in the movement ofworkers in developed capitalist countries are the characteristics of thepresent international situation. The situation is turning increasing favourablefor the growth of revolutionary movement though it poses a number ofquestions to be solved by communist revolutionaries. While boldly seizingthe opportunity and developing the people’s struggle including people’swar, communist revolutionaries should address themselves to the problemsbeing posed by the present day world. Marxism-Leninism-Mao ZedongThought, the most advanced ideology at present, is not a dogma but guideto action, action of changing the present exploitative and unjust imperialistworld and bringing about socialism and communism.

International Communist Movement1.92 The world communist movement is developing in the backgroundof intensifying contradictions in the world. Revolutionary communist partiesand organizations continue to develop their strength in the movementsopposing imperialism and reactionaries. While the influence of revisionistparties is declining, that of revolutionary communists is on the rise. Whileearlier areas of movement largely continue to subsist and also advance,some centres and areas of struggle are gaining in strength and recognition.

1.93 There are concrete problems in advancing revolutionary movementin today’s world which has undergone changes in the objective situationand balance of forces. There are also problems relating to assessment ofthe historical experiences of the dictatorship of proletariat. Internationalcommunist movement is trying to negotiate these conditions to advance.

33 34

1.94 Different streams of revisionists like Khruschevites, Brezhnevites,Hoxaites have dwindled in strength and relevance. Even the influence ofDengism has gone down as those subscribing to it have mostly degeneratedinto ruling class parties and Chinese revisionist rulers themselves havelost interest in peddling influence among the revolutionaries. On the wholethe influence and strength of revisionists are going down though not theirattempts or cunning in sabotaging the revolutionary communist movement.There is a ‘rise’ of a new brand of ‘socialism’ based on some redistributionof income derived from natural resources and opposition to diktats of USimperialism from within the existing ruling structure epitomized by HugoChavez of Venezuela. However, this is reformism and not socialism.Besides in European countries and also US and Canada, Trotskyites andanarchists are active. Trotskyites, basing themselves on an admixture ofsocial democracy and economic struggles of workers without targeting theimperialist system, have gained some following in some European countries.

1.95 Taken as a whole, in the world communist movement, the forcesfollowing Marxism-Leninism-Mao Zedong Thought/Maoism, have gainedprecedence. Teaching of great revolutionary Mao Zedong has gainedincreasing acceptance among the communist revolutionary forces andstruggling sections in the period of intensifying neocolonial exploitationand plunder. Mao’s teachings give invaluable insight into problems ofsocialist construction and class struggle continuing under socialism. Maohad enriched and developed theory and practice of dictatorship of proletariatto a higher plane i.e. of Marxism-Leninism-Mao Zedong Thought. Thoughsome communist revolutionary organizations have adopted Maoism in placeof Mao Zedong Thought they, except RCPUSA, do not differentiate betweenthe two in any significant way and ascribe the change to the need todemarcate themselves from the forces adopting revisionism while formallyadhering to Marxism-Leninism-Mao Zedong Thought. The difference betweenthe two formulations in practice is therefore not basic. However, RCP leaderhas come up with his “new theoretical synthesis” revising the past lessonsand advocating a non-class approach to the problems of the revolutionarymovement.

1.96 As the revolutionary communist parties and organizations increasetheir strength in respective countries and increase their influence amongworkers and toiling masses, there is increasing need for discussingtheoretical problems facing the revolutionary communist movement, learningfrom one another’s experiences and coordinating their blows against

imperialism and reactionaries. However there is no situation of buildingComintern type of organization at present. RIM’s experience is quiteillustrative in this regard. The proper form of organization at present is onthe lines of ICMLPO though the same should be made more regular,effective and responsive to the needs of the movement.

1.97 There is some talk about the forces in China, as there was earlierabout some forces in Russia. But it should be clearly understood that solong as these forces confine themselves to nostalgia for the past, harbourillusions about forces in the ruling revisionist party correcting these partiesand do not draw up concrete plan of building of revolutionary communistparty and intervening in the class struggle in their given conditions, theywould not be able to make much advance and will wither away.

1.98 While we must maintain close relations with parties followingMarxism-Leninism-Mao Zedong Thought/Maoism, we must pay attentionto other struggling forces wielding considerable influence in their countries.An example of such force is FARC in Columbia which has been waging waragainst the reactionary govt. there for over past four decades and controlsover one third of the country. There are such forces worthy of our attentionin Iran, Myanmar and other countries. We should try to engage with themwhere-ever possible.

1.99 We should continue to focus our attention on the parties of SouthAsia. Though the movement in a number of these countries is fragmentedand has suffered losses (SAMA in Afghanistan), we should try to drawcloser to them. In Bangladesh a number of revolutionary communistorganizations are active and we should develop our relations with them,particularly with those who have some base among the people.

1.100 In our neighbourhood, Communist Party of Nepal (Maoist) had madesignificant advance and established itself as the dominant political force inNepal. On the strength of People’s War launched by them in 1996, theywere able to control much of rural Nepal. They combined military and politicaloffensives well and displayed requisite flexibility. Their successes enthusedrevolutionaries throughout the world. However, they have the task of makingrevolution in a landlocked small country which has to counter the Indianreactionary rulers besides their own reactionaries. After a decade longpeople’s war they forged alliance with parliamentary parties when the thenKing Gyanendra seized executive power in 2005 and played an importantrole in the People’s Movement II in 2006. They were instrumental in

35 36

abolishing monarchy and emerged as the leading political force in theelections to the Constituent Assembly. A number of other revolutionarycommunist organizations merged with them. While their achievements werenoteworthy, they committed some serious errors of principle which led themaway from the path of revolution. The base of these errors was in theirwrong estimation of imperialism which they considered as a global stateand underestimating the inter-imperialist contradictions therebyunderestimating the possibility of revolution. Their understanding aboutdemocracy in 21st century was nebulous and that of multi-party competitionleft vague the question of state power. Their criticism of socialist states inSoviet Union and China were not based on concrete conditions obtaining inthose countries nor did they advance their criticism taking into accounttheoretical articulations of the problems by the leaders of world proletariatnamely Stalin and Mao. After Gyanendra seized power, they unnecessarilyconceded many points in forging alliance with parliamentary parties includingthe return of the land and properties seized during people’s war. Theirleadership considered revolution to be largely accomplished and did notgive due importance to the continuation of old state i.e. Army, police,bureaucracy. They suffered from lack of firm commitment to the path ofprotracted people’s war and wanted short cuts. In order to cover up theirleaving this path, they talked of people’s revolt.

1.101 After emerging as the largest party, they did not use that positionto accelerate the revolutionary movement. They went about forming andrunning the Govt. befriending the old parties and Indian Govt. Theirabandonment of revolutionary orientation demoralized their ranks leadingto split in their Party. Com. Mohan Vaidya led section (CPN-M) has raisedthe banner of NDR but has yet to concretize its position. Prachanda-Baburam section (UCPN-M) has not much to differentiate from CPN(UML).In the recently held CA elections UPCN-M has been reduced to a distantthird force while CPN-M call of boycott was largely ignored.

1.102 Communist Party of Philippines continues to wage armed struggleagainst neo-colonial rule while combining it with whatever legal avenues ofstruggle are available. CPP also continues to play an important role in thegathering of ML forces internationally and is the moving spirit behindInternational League of People’s Struggle, a platform of revolutionary massorganizations. Sprouting of communist organization in Indonesia wherecommunists had suffered biggest massacre in history, is also a positivedevelopment.

1.103 In Latin America there are a number of revolutionary communistparties. Of them, Revolutionary Communist Party of Argentina has somefollowing among workers and unemployed youth. Revolutionary forces areactive in many Latin American countries including Peru.

1.104 In European countries, communist revolutionary forces are gainingfollowing among workers, youth and students. They are playing anincreasingly important role in anti-Govt. demonstrations in these countries.Particularly noteworthy is the rise of Syriza in Greece which is an allianceof radical left including ML party there. It has gained substantial base amongworkers, youth and students and emerged a close second in the lastelections eclipsing socialist PASOK. It has taken a consistent positionagainst the austerity programme being implemented in Greece by analliance and main ruling class parties. Its programme and activities havedrawn attention worldwide, particularly in European countries.

1.105 While the revolutionary communists are trying to utilize thefavourable revolutionary situation to advance the revolutionary movementin their countries, they are disunited owing to lack of a socialist country orworld revolutionary centre, differences over assessment of experiences ofSoviet Union and China in building socialism and in their assessment ofthe challenges before the world revolutionary movement. While putting inefforts for playing our role in the international fora of the revolutionarycommunists, we should pay particular attention to developing relations withrevolutionary forces in our neighbouring countries.

National Situation2.1 Since returning to power in 2009, Congress led UPA-II has beenembroiled in mega corruption scandals of loot and plunder of naturalresources, increasing MNCs’ stranglehold over different sectors of economyeven opening up sectors in which they were not permitted till now, in drawingIndia closer to US and its allies particularly to Israel specially in defensedeals, in executing offensive against communist revolutionary forces asits war against people and in continuing military suppression of Kashmiripeople’s struggle for self-determination. This period has also been markedby large-scale mobilization of the people, particularly middle classes,against corruption scandals, sharp and broad based movement of peopleof Telangana for a separate state, opposition to war against people,continuing movements of the tribals and other peasants againstdisplacement, women, students and youth mobilization against increasing

37 38

attacks on women, opposition to opening of new sectors to MNCsparticularly retail trade and continuing movements of workers and peasantsagainst exploitation, oppression and suppression.

2.2 Economic growth rate has declined over the last years. Unable tohide decline in growth rate, Central Govt. is pushing for increasing foreigninvestment though the real reason is lack of domestic demand and it hasbeen on a spree to create the most favourable conditions for foreign capital.It has further opened telecom sector, defense production etc. while it hasdiluted parliamentary Act regulating liability in case of nuclear accident- allto invite foreign capital. The most damaging decision has been allowingentry of FDI in retail trade which provides employment to nearly 50 millionpeople. While it may create some 3 to 5 million low wage employments, itwill deprive employment to people many times over. The clamour for FDIis backed by comprador corporate who are particularly alarmed by the fallin price of Rupee against US $ as it makes their loans and bonds costlier,makes machinery imports costlier. While trade gap is rising, corporate andmedia controlled by them is demanding cut in subsidies on food, fuel andfertilizer which are any way meagre and if the taxes levied on them aretaken into account, in fact negative. The Govt. is going on further openingsectors to MNCs which though bringing foreign capital, further erodesemployment and domestic demand. This foreign investment led growthmodel is, in the long run, a road to ruin.

2.3 Economic crisis is deepening both as part of the world financial-economic crisis as well as the one resulting from the economic policiesbeing pursued by the ruling classes of the country. Its impact is being feltin the deteriorating conditions of the people, in increase in the number ofdestitute and hungry with food becoming dearer while purchasing capacityof the overwhelming majority of the people is declining, in the rising numberof unemployed both in rural and urban areas. India stood 63rd among 88countries in global hunger index, lowest even in South Asia. Starvationand hunger stalk vast areas with handicraft workers and rural poor fallingprey to starvation deaths. Its impact is being felt in peasant suicides andfurther growth in the indebtedness of the peasantry, in the declining growthin the productivity of agriculture. Due to the economic policies pursued bythe successive govts. our country is home to the largest number ofmalnourished children with 60 million children grossly malnourished, 40%of the world’s total. Over 56% of women in child bearing age suffer fromanaemia (lack of blood). A serious food crisis is developing endangering

this second most populous country of the world. Even the Govt. hasadmitted in Food Security Act that two thirds of Indians are hungry.

2.4 Alongside this India where overwhelming majority is abysmally poor,there is the India of the rich, shining and developing. The big bourgeoisieof the country has increased its wealth at a very high pace while landlordscontinue to rule the roost in the vast countryside. Indian comprador bigbourgeoisie is also participating in loot and plunder of other third worldcountries as a junior partner of MNCs of imperialist countries. Indian rulingclasses are partners of imperialist powers in loot and plunder of this vastlyrich and gifted country. The gap between rich and poor has increased sharply.Cheap labour and vast natural resources of the country are being squanderedfor the profits of the MNCs and comprador big business houses and arenot being used to develop the country and uplift its people from povertyand backwardness. The deepening economic crisis is manifesting in growingindebtedness of the country, rising fiscal deficit and declining expenditureon the welfare of the people.

2.5 While world financial-economic crisis and deepening economiccrisis in India are exposing the hollowness and anti-people character of theeconomic policies pursued by the ruling classes, they are making all outefforts to expedite their pro-imperialist economic policies like privatizationof public sector enterprises, opening of the vast mineral resources of thecountry to the loot and plunder of MNCs and comprador big bourgeoisie,cutting the expenditure on rural development and people’s welfareprogrammes, in brief to intensify implementation of failed economic policieswhich have only benefited the foreign companies and a small sections ofthe people here at the expense of the vast multitude.

2.6 The ruling classes are unable and unwilling to address the effectsof world financial-economic crisis which has devastated many sectors asthis puts into dock the export led model of development which was imposedby the imperialist countries on the oppressed countries to make them producecheap goods for their markets and in turn import high value capital goodsfrom imperialist countries. Indian ruling classes pursuing FDI dependentgrowth are unable and unwilling to take steps to do away with the dependenceon imperialist countries, the root cause of these devastating effects.

2.7 Indian ruling classes have abandoned land reforms and are evenreversing them in some states while land ownership is highly skewed withjust over 5% of land owners owning nearly 44% of the land and nearly 60%

39 40

of the country’s population owning less than 5% of land. They have insteadbrought up a scheme of rural employment to jettison land reforms anddivert attention from neglect of agriculture. It suffers from low wages andhigh corruption even in making job cards and very low utilization with jobseekers turned back as demonstrated by meagre allocation of funds. Thelot of peasants and agricultural workers is worsening due to neglect ofagriculture. Rural poor are seething with anger though ruling classes haveextended their penetration through different schemes.

2.8 Food Security Act is first an admission that two thirds of the peopleof the country are so poor as to need help for even meeting food needs.Further it is just a joke as the new bill actually reduces entitlement from 35kg per family per month to 25 kg per family per month for most of them.Moreover, the Act only repackages the already existing schemes. It isclear from the expected expenditure of 1.25 lakh crores while variousschemes are already spending 1.13 lakh crores, i.e a meagre increase of12 thousand crores only.

2.9 Indian people suffer from all round corruption and high rise in pricesof essential commodities, particularly food grains, which has been in doubledigits over the past years. High taxes contribute much to the high prices ofthese commodities in addition to hoarding, forward trading etc. whilecorruption works as illegal taxes levied on the people by the rich andpowerful.

2.10 Despite being home to largest number of poor, hungry and destitutemuch in excess of its share in world population, Govt. of India’s expenditureon armed forces is staggering and that too on imports. India is the largestimporter of weapons with $3.337 billion spent in 2010 alone and accountingfor 10% of global arms imports over the last five years, of nearly $12.7billion. While India suffers from huge trade deficit, Indian Govt. importsover two third of its arms requirements. It has been the biggest purchaserof Russian arms and the third biggest purchaser of US arms during lastyear.

2.11 Indian ruling classes are suffering from political instability. For overpast two decades no single party has gained majority of seats in Indianparliament. Ruling classes have sought to overcome this through alliancesof ruling class parties. It has been possible as all ruling class parties, itsright, centre and left wing, have consensus on the basic policy framework.While it has helped the ruling classes gain some sort of political stability,it has pushed the people’s issues outside the pale of ruling class politics.

2.12 Indian rulers sold the dream of India becoming a ‘superpower’ withthe support of US imperialism and a section of middle classes fell victim tothis bogus propaganda. The aim of this is to gain acceptance forintensification of exploitation and plunder of the vast natural resources andcheap labour of this country. US imperialists wish to utilize India as acounterweight to China and so egg on Indian ruling classes’ ambitions tobe a regional hegemon and an important power in Asia and Indian Ocean.

2.13 With little job prospects at home a large number of youth are forcedto migrate. They suffer from racism and xenophobia in western countriesand were targets for attacks as in Australia and Canada.

2.14 While Indian people move in struggles against anti-people policiesand rule, Indian rulers move to crush these struggles. They have armedthemselves with draconian laws and are increasing paramilitary and policeforces to crush the people’s struggles. They have declared Naxalites as thebiggest threat to the security of the country which actually means to theiranti-people rule. Prime Minister Manmohan Singh put the issue clearly in hisspeech in Parliament, “If left wing extremism continues to flourish in partswhich have natural resources of minerals, the climate for investment wouldcertainly be affected.” It is clear that it is the left wing extremists whom theruling classes consider as the main enemy to their loot and plunder of thenatural resources of the country. The struggles of the peasants particularlytribals against forcible displacement in mineral rich areas pose a concretechallenge to the implementation of the new economic policies particularlyof exploitation and plunder of the natural resources of the country.

2.15 The struggles of the people of the country continue to advancedespite consensus of the ruling class parties in favour of new economicpolicies. As the ruling class parties do not dominate these struggles, theruling class media demonizes these struggles to prepare the ground forfascist repression. When they are not able to keep these struggles out ofthe consciousness of the people, they resort to distorting them and conductslanderous propaganda against them.

2.16 The alliance of imperialism and reactionary ruling classes isbecoming more and more open. The attacks of the ruling classes againstthe people are becoming more and more fierce and brazen. The contradictionbetween the alliance of imperialism, comprador capitalism and feudalismon the one hand and the broad masses of the people on the other, theprincipal contradiction in our country, is intensifying.

41 42

2.17 Revolutionary situation continues to grow. Vast sections of peopleare disillusioned with ruling class parties and are taking to militant strugglesto secure their rights. People are not prepared to be ruled in the old wayand rulers are also not able to rule in the old way.

Deepening Economic Crisis2.18 Economic crisis in the country i.e. industrial-agrarian crisis, isdeepening and growth rate declining. India has had severe impact of theworld financial-economic crisis. While the toxic assets were not parked inIndian banks to any significant degree except in ICICI, not because of theIndian Govt. but despite it, the severe impact was felt due to decreaseddemand in US and European countries. Several sectors suffered and areyet to overcome the slowdown. Indian Govt., which initially denied anyimpact of the crisis, was slow to recognize the same and still slower intaking corrective measures to save industries. These measures rather thanaddressing the root causes were only temporary measures which onlyincreased debt burden.

2.19 While Govt. was slow to act to save the export dependent industries,it was quick to act to save Indian big business. With foreign credit dryingup, govt. quickly moved to pump in lakhs of crores to shore up the creditflow and SBI guaranteed bonds were floated to pay for the loans. Indianrupee declined vis-à-vis the dollar. Fiscal deficit rose sharply due to fallingrevenue collection and largesse given to big business houses. The Govt.cut expenditure on welfare schemes with ministries spending less thanbudgeted.

2.20 Indian big business raised loans in the international marketparticularly external commercial borrowings with their higher interest rates.Besides, India was forced to take in mandatory exports under WTO, allowrepatriation of profits by MNCs under TRIMs. These in addition to currentaccount deficit put a lot of pressure on Indian rupee which fell in relation toUS$ leading to further clamouring for FDI by Indian Govt.

2.21 Prices of food and other essential commodities like cooking gas,kerosene etc. rose sharply bringing serious hardships for the common peoplewho spend a large part of their earnings on food. Prices of pulses,vegetables, sugar and cereals rose sharply and price rise of food itemsaveraged 13 to 15%. This was a result of gross neglect of agriculture,diversion of fertile land for other purposes including biofuels and decliningincrease in productivity due to short sighted policies of the Govt., neglect

of growing pulses and oil seeds etc. Food availability declined while Govt.spokesmen made light of food security claiming to get it from the internationalmarket. Govt. routinely increases prices of petrol and diesel even whenthe prices in the international market are low. This rise has a chain effectraising the prices of all commodities. A large part of these prices are Govt.taxes which the Govt. does not reduce even when prices are high.

2.22 Industrial crisis has been continuing exemplified by decline,stagnation and very low growth during the past years. Automobile sectorslowed down and many sectors of infrastructure registered slow growth.Manufacturing, which is a big contributor to providing industrial employment,has been particularly hard hit. Even the growth of service sector which isthe biggest contributor to GDP is slowing down. Share of agriculture whichprovides employment to 59% of the people declined to one seventh ofGDP.

2.23 Growth of employment in organized industries has been negativewith 92% of the employment provided by informal sector. Total employmentin the organized sector had fallen from 28.2 million in 1977 to 26.4 millionin 2004 and the trend continues. Gujarat and Maharashtra, being projectedas the models of industrialization, are among the slowest growing states interm of employment in non-agricultural jobs.

2.24 Agrarian crisis in the country continues to be quite deep withagricultural production virtually stagnant. Implementation of imperialistdependent green revolution based on maximum exploitation of land andwater with high use of chemicals (fertilizers and pesticides) has led todecline in growth of agricultural productivity so that the growth of agriculturalproduction is not keeping pace with increased inputs. Punjab, Haryana andwestern UP, considered the grain bowl of the country accounting foroverwhelming proportion of marketable surplus, are suffering from this withpeasant indebtedness increasing. Agriculture continues to be rainfed andcarried on with backward means in the large part of the country. Irrigationprojects particularly small and medium continue to lie incomplete whilemaintenance of canals is neglected.

2.25 The basic cause of agricultural stagnation is semifeudal agrarianrelations which ruling classes maintain and sustain. Land reforms haveremained only on paper with only 1.25% of the cultivable surplus land havingbeen distributed. Since the advent of new economic policies, even the talkof land reforms has stopped and they are being reversed in some states.The vast multitude of poor landless peasants and agricultural labourers do

43 44

not have even the hope of getting agricultural land and are subject toexploitation and oppression of landlords. Land distribution has beenrestricted to house sites and that too not implemented. Ruling classesconduct propaganda of non-viability of small plots while all experience pointsto the increase in productivity if land reforms are carried out. But what canbe expected by the big bourgeois big landlord ruling classes when theirown interests are involved?

2.26 Agrarian output has remained stagnant or registered minor growthleading to decline in per capita food availability. The agrarian crisis isdeepening with no respite for landowning peasantry and no hope for landstarved peasantry.

UPA Govt.’s Attack on the People & Deteriorating Conditions ofthe People2.27 While UPA Govt.’s second term has been marked by exposure ofbig corruption scandals, both its terms have been abject failures in termsof doing anything to address the problems of the people. The only concernof Manmohan Singh Govt. has been to deepen strategic partnership withUS imperialism and intensification of new economic policies though runninga coalition govt. did impose some limitations. US –India Nuclear Deal hadlittle to do with meeting the power needs of the country but was a means ofdeepening relations with US imperialism. The agreement on civilian nuclearcooperation and Hyde Act passed by the US Congress showed that thiswas to bring Indian nuclear programme under US supervision and for sellingUS nuclear reactors to India. The agreement did not confer enrichment andreprocessing rights to India but talked of separate agreement for the same.G-8 resolution for preventing ENR to non-NPT countries has given a lie tothe claims of the Indian Govt. in this regard.

2.28 UPA govt. has done little to improve the conditions of workers.The workers in unorganized sectors continue to be denied basic labourrights and their struggles to secure the same are being crushed. No attemptwas made to provide even basic facilities like ESI, PF and minimum wagesto these workers. There has been increasing emphasis on replacing regularworkers with contract workers who get one fourth to one fifth of the wage ofregular employees in the big industries. The report of VIth Pay Commissionenvisaged privatization of Group D and C services and granted little increaseto these categories of employees. Their pay does not keep pace with risingcost of living in metropolitan cities. A large number of industries are lying

closed and there has been no attempt to revive them. Even the workers’dues and benefits have not been paid. Plight of the workers of closed andcrisis-ridden industries is really serious. Workers’ dwellings continue to beattacked in the name of beautifying cities while even minimum amenitieslike water and electricity are not provided. Even where they are provided,they have been privatized and rates hiked. Hawkers are being removedfrom roads in big cities depriving large number of toilers of their livelihoodand common people sources of goods within their means.

2.29 UPA Govt.’s callousness is conspicuous in its approach to peasantsuicides. Manmohan Singh announced Vidarbha package updating the bankbooks and announcing some big irrigation projects. No measure has beentaken to address indebtedness what to talk of the causes underlying it.Indebtedness to private money lenders, which accounts for most of theloans of peasants, has not at all been addressed. Suicides continue. Onthe other hand the cost of inputs keeps rising. There has been rise in theprices of fertilizers and peasants throughout the country faced shortage offertilizers. Govt. is working for the profits of fertilizer companies whilepushing through micronutrients. Govt. procurement of agricultural produceat a support price is being diluted and peasants have to regularly agitatefor the same. The support price is declared much later leaving no choice tothe peasants about crops.

2.30 UPA Govt. is dithering on defending the interests of Indianagriculture in Doha round of negotiations. Rather than standing firmly onthe side of the third world countries, Indian Govt. tried to reach agreementwith imperialist countries at the expense of other third world countries. Inrecent 9th WTO Ministerial Meeting in Bali, Indian Govt. not only ditchedother third world countries but compromised Indian interests on tradefacilitation for a half baked concession on subsidies for Food Securityprogramme. This is an interim concession for four years and that too onlyon existing levels with a proviso that it should not distort trade. This hasbeen a surrender by Indian Govt. and isolated India from other third worldcountries.

2.31 UPA Govt. has totally abandoned land reforms. Even the earlierpending cases relating to disputes are lying in the courts and there hasbeen no progress on distribution of surplus and bhoodan lands. Even in thestates where commissions were appointed on this problem, their reportswere consigned to the dustbin. K. Ranga Rao committee appointed byCongress govt. of A.P. and D. Bandopadhyay commission appointed by

45 46

JD(U)-BJP Govt. in Bihar met this fate. Even BSP Govt. in UP had paid noattention to even giving possession of patta lands to landless what to talkof carrying out land reforms. While there was no will to distribute even theavailable land to the poor landless people, the same is being allotted toMNCs and big business houses in the name of setting up industries.

2.32 Lot of share-croppers continues to be abysmal. In most of the statestheir existence is not even recorded and hence they have no rights includingwhen land is acquired. They cannot get any bank loans for agriculture.Even where they are to some extent recorded, there has been no move togrant ownership rights to them.

2.33 AP state govt. is proposing cooperative farming by big companiesand has brought an Ordinance to AP Reforms (Ceiling) Act, 1972. This isnothing but tying the peasants to companies and robbing them of their landand labour. This proposal has met stiff resistance from organizations ofpeasants and agricultural labourers. In Bihar Nitish Govt. has amendedAgricultural Marketing Act laying the basis for corporate agriculture to bebrought.

2.34 Public Distribution system is facing total collapse. It is seeped incorruption with provisions reaching markets and not the card holders. Pricesof essential items will increase a lot for those not covered under FSA.Govt. is in fact planning to do away with it trying to bring in cash transfer inplace of providing rations to needy which will have serious deleterious effecton the nutritional level of the poor of the country.

2.35 UPA Govt. has continued the privatization and commercializationof education, raising steeply fees for higher education. Educational institutionsare being handed over to private parties. Higher education has gone out ofreach of even middle classes what to talk of poor people further marginalizingdalits, most backwards and women from higher studies. There has beenincreasing opening of foreign universities, bringing courses of Indianuniversities in line with them. On the other hand, there is widespread distortionof history in text books and obscurantist ideas are taught to the students.

2.36 Situation of unemployment continues to be grave with over fortymillion on employment exchange registers when only a small minority getsthemselves registered. Young people at large have no meaningful prospectsfor the future. On the other hand, ruling classes promote lumpenization ofyouth and propagate such values which result in growing criminal activity.In several parts there is growth in drugs consumption by youth. In Punjab,

state ministers have been found to be running drug rackets in league withpolice officers and smugglers.

2.37 Neglect of Govt. hospitals and encouragement to private hospitalscontinues with basic health care going out of the reach of common people.Hospitals are being handed over to private parties and govt. hospitals arebeing neglected. Such an abysmal state results in deaths of hundreds andthousands in outbreaks of communicable diseases. Drug prices areincreasing making treatment costlier. Health and education continue to beaccorded very low priority by the govt.

2.38 Corruption continues to scale new heights and permeate all cornersof life. In the govt. depts. corruption is all pervading. In police, judiciary,govt. procurement, PDS, schools and colleges, hospitals and dispensaries,municipal and local authorities, gram panchayats and cooperatives, banksand development works, even in getting certificates for birth and death, thegoddess of corruption is the presiding deity blessing all, sparing none.Common people face enormous difficulties while a section of middlemenhas emerged in all spheres of govt. activity. This corruption is presidedover by the most corrupt ruling establishment, ruling politicians andbureaucrats, judges and senior officers of police and Army. This corruptionin high places takes the form of robbing the people of their land andlivelihood and handing them over to MNCs and big business houses,favouring them in defrauding the state exchequer and simply eating awayof the public money.

2.39 Black money has assumed enormous proportions while rulingpoliticians and bureaucrats stash away huge sums of money in foreignbanks. Ruling class opposition parties raise this issue periodically but theyare non-serious over this. Even the names of those stashing away moneyabroad are not disclosed as these are mostly ruling class politicians. Sumsof such money are enormous but the successive govts. have brushed itunder the carpet.

2.40 While the Govt. makes so much noise on meagre subsidies onfood, fuel and fertilizer (which in fact are in negative if taxes levied onthem are taken into account) huge subsidies are given to big business.Corporate media and ruling class politicians keep mum over them. Overthe last five years over 21 lakh crore rupees were doled out to them intaxes foregone. While common man is squeezed, the rich are given largessewhile the cry over budget burden of subsidies rises ever shriller.

47 48

2.41 Elections are marked by widespread use of money, muscle andmedia. Election Commission also made elections costlier outlawing cheapermeans of propaganda. In the last elections 306 members elected to LokSabha are themselves crorepatis while number of criminals among theelected MPs too went up. Similar trend is observed in state assemblyelections.

2.42 Though the Congress fought last elections on its concern aboutcommon man, highlighting NREGA, Forest Act, loan waiver and earlierbank nationalization, Manmohan Singh Govt. took it as a mandate tointensify implementation of new economic policies. The Govt. has beenpumping for FDI removing all obstacles in its way. FDI was introduced inretail trade despite widespread opposition in the country.

Political Instability Continues2.43 2009 election results were projected by ruling class media as anend to political instability but political instability continued. UPA-II unravelledwith TMC leaving on the question of FDI in retail trade and DMK on thequestion of Sri Lankan Tamils, leaving the UPA Govt. much short of majoritybut the Govt. survived on the strength of two regional parties of UP- SPand BSP and unwillingness of the main parliamentary opposition BJP todepose the Govt. Parliament remained paralyzed but did pass anti-peoplelegislations. FDI was permitted in telecom, defense production while workers’PF was permitted to be invested in share market with entry of FDI. InRajya Sabha UPA-II is well short of majority. Other ruling class parties areruling in major part of the country. Such is the state of instability that everystate elections is perceived as a referendum on the Govt.

2.44 Another sign of political instability is rising conflict among the stateinstitutions, between judiciary and executive, between political andbureaucratic executive, between CBI and IB, between CAG and Govt., infact between different wings of the state. Such is the state of politicalinstability despite continuation of Govt. that it cannot even pursue foreignpolicy without intervention of states as evidenced by last minute cancellationof Manmohan Singh’s visit to Colombo and failure to sign accord withBangladesh.

Anti-corruption Upsurge and Alienation of Middle Classes2.45 UPA’s second stint in power has been marked by exposure of megacorruption scandals exposing a deep nexus between ruling politicians,

corporate, bureaucrats and even media persons. Large scale corruption inCommonwealth Games, 2G scam, Coalfield allocation scandal, AdarshSociety scam, UP NRHM scam, mining scandal of Karnataka, KG basinscam and scandals involving Robert Wadra and Nitin Gadkari are just afew more publicized ones. CAG reports on corruption in CommonwealthGames and 2 G scam shook the people and brought them into the streets.Anna Hazare led anti-corruption movement with its projected solution throughLokpal and support from the media extended to this campaign, galvanizedthe people, particularly middle classes of metropolitan cities particularlyDelhi. The Govt. move to ban the protest and arrest Anna Hazare broughtlakhs of people into the streets. Anna Hazare broke his fast on promisesmade by the PM as a part of Parliamentary commitment to enact Lokpal.This vast mobilization of people prompted corporate and the mediacontrolled by them, to complain of negativity and lack of governance dueto such movements, and to advocate that anti-corruption movement shouldtake to parliamentary, not movemental, route fighting elections and fightingcorruption from within. Anna Hazare led team’s attempt to restart themovement from Mumbai could not succeed largely due to change of theattitude of the corporate media. On the question of forming a party, therewas split among these long term non-party activists with a section of Annateam deciding to form a political party, Aam Admi Party, which contestedelections in Delhi emerging as the second largest party.

2.46 After severe defeat in assembly elections in four north Indianstates, Congress got the Lokpal Act passed by Parliament incorporatingsuggestions of parliamentary select committee into the Govt. Bill. CBIhas not been brought under Lokpal, but an investigating officer cannot betransferred without Lokpal’s approval and methods of selection of Lokpaland CBI director are prescribed. Protection to whistle blowers and citizens’charter are to be dealt through separate Acts. Anna Hazare, who was onfast in his village, expressed satisfaction with the Act. So far as fightingcorruption goes, leaving fighting corruption to corrupt would ensure thatnothing would come out of it.

2.47 However, the anger of middle classes and its alienation from rulingclasses is more deep seated. It burst forth on the issue of corruption aswell as on violence against women and earlier on acquittal of the accusedhaving links with power. AAP channelized this anger into electoral channelhelped by corporate contributions and corporate media. However, it alsoproved that once the framework was laid, anger of the working people too

49 50

got channelized resulting in drubbing of Congress and defeat of BJP. Rulingclass design is to keep this anger within ruling class parliamentary confinesas the lot of the people continues to worsen. Agenda of middle classes isnebulous and attempts are being made to fit it into right wing ‘development’plank.

Role of Judiciary2.48 In our earlier resolutions we have noted the leading role being playedby the higher judiciary in furthering implementation of new economic policiesin the backdrop of lack of parliamentary majority. It has been totallyunaccountable in its conduct and pronouncements. Higher judiciarycontinues to serve the interests of dominant classes as shown by its biasagainst landless poor peasants and its attempts to whitewash the corruptpoliticians, shield the corporate and police. While some pronouncementshave been in favour of people’s rights, generally they have been in favourof ruling classes.

Media2.49 Media, the big newspapers, periodicals and TV channels, controlledby big business and otherwise also dependent on corporate for hugeincomes, are performing a vital role for the ruling classes by trivializing theissues of the people and emphasizing the issues favourable to the rulingclasses. They also prescribe the mode of protest and try to lay down theparameters of opposition. They show scant regard for the concerns of thecommon people and even when they do so, they present a distorted picture.They try to cover up brutalities by the police and security forces. It is notthat the other side is not covered at all, but is swept in the plethora of one-sided propaganda. They take the positions of the ruling classes andimperialists as the only positions. For them people waging national waragainst imperialist invaders are all proven terrorists. For them the resistanceof the people against atrocities also falls under terrorism. Press freedom isnot people’s right to know but the right of media barons to tell. They espousenational chauvinism, upper caste chauvinism and majority communalismin the main. Their role is commensurate with the interests of their ownersand their sources of income. Their reach and power has tremendouslyincreased. From influencing the agenda of political discourse and showingtheir preference for certain ruling class options, they have moved to a veryshaping of this agenda. Their increased role reflects the increase in influenceof corporate including MNCs, and their potential to become vehicles of

anti-democratic propaganda.

2.50 Decadent imperialist and feudal culture is propagated through media,particularly TV channels. They glamourize feudal values and practices.They propagate themes of the upper classes while ignoring the lives, sorrowsand pleasures of the vast multitude of Indian masses.

2.51 Particularly remarkable is the growth of social media which hasacquired deep penetration especially among middle classes. They havemade communication easier and speedier and have played significant rolein mass mobilizations both in India and abroad. Internet connectivity hasincreased tremendously and reached distant corners. While it still remainsunder the control of big money and under surveillance of Govts, it haspotential to be used for dissemination of the information and message ofthe revolutionary forces.

Struggle Against Forcible Displacement a challenge to pro-imperialist economic policies

2.52 Since the last Party Congress the struggles of peasantry againstforcible displacement have emerged sharply. Colonial rulers earlier anddomestic reactionary rulers after 1947 have been displacing the peasants,particularly tribals, for setting up industrial enterprises and for exploitationof mineral wealth of the country. But the displaced peasants, nearly 40%of them tribals, robbed of their only means of livelihood were left to fend forthemselves. A large number of them were forced to migrate and lost in thevast slums of urban India, their daughters turning into housemaids, or elsewere forced to become low paid casual workers in the industries that cameup on their own land while all regular jobs and businesses were monopolizedby the outsiders. Their experience of displacement in the name ofdevelopment was unmitigated disaster. They gave up their land on promiseswhich turned out to be empty. They became destitute, poor and unemployedwaiting for rehabilitation. Several struggles of the people so displacedcontinued in the face of apathy, sheer callousness and deliberateconspiracies of the rulers.

2.53 Indian ruling classes on the other hand, intensified their drive toforcibly displace the peasantry to grab their land for extraction of mineralores, for setting up of industrial enterprises, for urbanization and for settingup of SEZs. The SEZ Act was passed unanimously by the Parliament todeprive peasants of their land, workers of their rights under labour laws

51 52

and public exchequer of the taxes. Even the law of the land was notsupposed to operate in these exclusive enclaves. Highly productive landwas allotted for these SEZs and industrial enterprises as MNCs and bigbusiness houses wanted land with abundant water sources close to rivers,with good transport facilities and plain land needing no expenditure on workingup. And they wanted to grab land far in excess of the requirements of theproposed industries. Indian rulers paid scant regard to food availability forthe people while taking away such fertile land singing praises of industrialdevelopment providing employment. But these enterprises destroyedemployment many times over the number they created. With exhaustion ofmineral resources in developed world, the attention of the MNCs was drivento countries like India. With comprador rulers of the country intent on plunderand with all ruling class parties sharing the table with approval of higherjudiciary ‘public purpose’ became a euphemism for private greed. A newoffensive of pro-imperialist policies was launched with much fanfare withstate govts. competing in signing MOUs. The Indian ruling classes whichhad done little for the poor, landless peasants and agricultural labourersrolling out red carpet for imperialist capital, the great party of loot andplunder was set in motion targeting land owning peasants enlisting thesupport of landlords, local contractors and mafia. However this created abroad based alliance to oppose this forcible displacement.

2.54 With the patience of displaced getting exhausted in waiting forrehabilitation and seeing the lot of past displaced, struggle of tribal peasantsof Kalinganagar in Odisha became a turning point. Discarding the bogey ofrelief and rehabilitation and building up on earlier struggles e.g. of Kashipur,they raised the battle cry of “no to displacement” and offered supremesacrifices for their conviction to save their land and livelihood. Two old andtwo very young died in the first skirmish on land for Maharashtra Seamlessin May 2005. But the major battle was fought on the land to be given toTata for a Steel Plant. On January 2, 2006 Odisha Govt. unleashed itspolice on the tribals opposing displacement. 14 died in the firing, 12 on thespot. But the determined tribals with their dead, blocked Paradeep Highway.The blockade continued for over 14 months. This massacre of tribalscreated widespread anger. While ruling class parties tried to confine theissue to firing, it was communist revolutionaries who gave unstinted supportto the struggle of tribals against displacement.

2.55 Kalinganagar struggle inaugurated a new phase of struggle againstforcible displacement. Peasants in Raigarh in Maharashtra, in Dadri in UP,

in Jagatsinghpur against POSC0, Keonjhar against Mittals, Niyamgiriagainst Vedanta in Odisha, in several places in Jharkhand like Singhbhumand Dumka, in Chhattisgarh, in Singur, Nandigram and Dankuni in WestBengal, Gangavaram, Kakrapally and Sompeta in AP and many othercentres said no to forcible displacement. Everywhere the fighting peasantswere ready to lay down their lives. Of these struggles, people’s upsurgeagainst CPM goondas and police attacks in Nandigram was most notablewhich uprooted the oppressive machinery and forced the state govt. togive up the SEZ project. Tatas had to abandon Singur. As these strugglesalso had land owning peasantry, seeing the mass upsurge, some rulingclass parties too joined the fray. Then marginalized in Bengal politics,Mamata Banerjee led Trinamool saw a chance of revival of its electoralfortunes and led the struggle in Singur and Nandigram. Some other rulingclass parties became locally active. The communist revolutionaries weresteadfast in their support to struggles against forcible displacement andexercised some influence on the struggles. These struggles could face theonslaught of police and ruling party goons, mobilize the support ofdemocratic opinion and force the issue of land acquisition on the nationalagenda.

2.56 These struggles posed a concrete challenge to the rulers’ drive toexpedite implementation of new economic policies and grounded many oftheir projects. The anti-displacement movements have expandedparticularly in the hinterland. Tribal peasants in West Godavari District inAP thwarted the attempt of the state govt. to take away land they werecultivating in the name of aforestation to compensate extension of opencast mining in Singareni coalfield. People have come out against Polavaramproject opposing digging of canals, blocking settlement pattas and villageresettlement. The coastal corridor in AP, envisaged on lakhs of acres ofland, faced stiff resistance from the people. Similarly movements againstnuclear power plants have been continuing in Jaitapur etc. while movementagainst coal-based power plants in Srikakulam and Allahabad districts arealso continuing.

2.57 Movements of tribals and other peasants against forcibledisplacement have been continuing and at some places scored victories.While movement in Nandigram and Raigarh led to scrapping of SEZs, instopping displacement in Govindpura and Halwara in Punjab, those in Singurand Kalinganagar resulted in unwilling peasants’ land not being taken (InSingur, the land is yet to be given back due to litigations). In Niyamgiri

53 54

tribals scored a singular victory when Supreme Court authorized tribals todecide the fate of Bauxite mining by Vedanta through their Gram Sabhas.12 pallisabhas unanimously rejected the mining proposal in which rejectionour Party played a leading role.

2.58 Pressurized by corporate for acquisition of land and facing strongresistance from peasants including tribals, the Central Govt. and rulingclass parties have brought a new law amending the colonial Land AcquisitionAct, 1894. This new law, somewhat enhancing the compensation for theland acquired, has not met the basic demand of the people that there shouldbe no forcible displacement. It has provision to elicit consent of 70% ofaffected people in cases of acquisition for private companies which is proneto much misuse and other provisions for doing away with it. It makesbureaucrats the ultimate arbiters. It has not prohibited acquisition ofagricultural land for industries nor has it prohibited land to foreign corporate.This Act is a jugglery of words aimed at forcibly displacing the peasants.

Struggles of Tribals2.59 Tribals are among the most oppressed in India. Inhabiting the hillsand forests they make their living from the forest produce. Successivegovts. have been attacking their traditional rights while making no provisionfor the elementary facilities needed for human existence. Their lands havebeen taken away by non-tribals despite the law in states prohibiting suchtransfers. Their social life based on equality, honesty, mutual help andcooperation, high regard for women and elders and respect for nature isunder continuous threat. They are oppressed and terrorized by the non-tribal elite, contractors, police and forest officials. They have been prey toforcible displacement as the land they live on is rich in mineral ores. Theyhave been struggling against their oppressors mostly under the leadershipof communist revolutionaries. In Godavari Valley tribals have waged landstruggles and captured 8 lakh acres of land.

2.60 Faced with the continuing struggle of the tribals for their right onforest land and forest produce, The Scheduled Tribes and Other TraditionalForest Dwellers (Recognition of Forest Rights) Act 2006 was enacted. ThisAct recognizes their rights on the lands already occupied by them andunder their possession for a long time and also on forest produce. But thisAct rather than extending their rights, actually seeks to curtail them bothwith regard to size of the land as well as the use of forest produce whilemaking them liable to be prosecuted for failure to protect forests. It is also

liable to be used by non-tribal exploiters. Even the resettlement packagesfor forest land are being given to non-tribals.

2.61 Anti-displacement movements have unleashed their energy as theydefend their land and livelihood. Brutally suppressed by police, thesemovements usually ban the entry of police in the movement areas. Oftenthese movements turn to attempts at re-establishing tribal way of life andthey articulate their demands according to their percepts of justice.

2.62 While tribals have displayed unparalleled heroism in anti-displacement movements in a number of places, there have been militantmovements with big mass participation in South Odisha for reclaiming theirland from the illegal possession of non-tribals. In Narayanpatna block ofKoraput district, tribals re-occupied their lands from the illegal occupationof non-tribal landlords and withstood attacks from landlords and theirgoondas. They are facing severe repression from the state which killedtribal activists, has deployed paramilitary forces for suppressing them andhas foisted false cases against them.

2.63 In West Bengal in Lalgarh in West Midnapur district, tribals andother rural people rose against tortures, arrests and beatings by the policein the wake of a mine blast on the route of the Chief Minister and UnionMinister of Steel who had gone to Salboni to inaugurate SEZ of Jindals.Police unleashed a reign of terror in Lalgarh which is at some distancefrom Salboni. Roads were dug up, police posts were raided and policemade to flee from the areas. CPM leaders, whose big houses stood in thebackground of the mass of huts and who had been running the areaemploying even violent means, became the targets of attack. Mass upsurgeof tribals had a spontaneous element but the CPI (Maoist) working in nearbyareas for several years provided the impetus and were part of leadership.Lalgarh movement unmasked the character of revisionist CPM rule whichwas forced to admit that it had done nothing for the tribals in then 32 yearsof its rule. It also laid bare the character of Indian ruling classes whounleashed the might of Indian state through its elite paramilitary forcesagainst the tribals. Lalgarh movement suffered a setback due to massiverepression unleashed by Mamata Govt., illusions created by CPI (Maoist)towards Mamata and their one-sided armed activities targeting even otherprogressive and revolutionary forces and failure to understand the natureof Lalgarh movement which mobilized the people including tribals on massscale against police and CPM atrocities.

55 56

2.64 Tribals’ struggles, a direct challenge to the rule of reactionaries, isfull of revolutionary potential. Such movements should be built, developedand supported.

Struggle Against Caste Oppression2.65 Dalits and other backward castes continue to be oppressed whichhas its roots in their lower socio-economic status. Beating and killing ofdalits, rape of their women and parading them naked is still common. Manyincidents of sexual assaults on dalit girls and women have come to light inHaryana. A violent campaign is being run in Tamilnadu against dalit boysmarrying Vanniyar girls and such campaign is common in other states andcommunities. Where-ever their condition improves and they object to beingtreated in oppressive way, they are physically attacked, their houses andproperties are burnt. Khairlanji (Maharashtra) and Luxmipet (Andhra) areexamples of continuation of murderous attacks on dalits. Even the partiesbased on particular caste groups subjected to oppression and backwardnessdo little to change the situation.

2.66 The recent rise in Punjab of dalit deras and attacks on them byupper caste Sikh clergy has its roots in the relative rise of these institutionswhich are supported by their NRI followers. There was widespreaddisturbances in Punjab after a Dera Sachkhand pracharak was killed inVienna. Such incidents show resistance by the dalits and backwards totheir lower status in society and attempts by upper castes to suppress thisresistance.

2.67 UPA Govt. had announced reservation in the Central universitiesand premier institutions for OBC students. An agitation supported by leadersof Congress and BJP was launched against this while these parties officiallysupported the reservation. This agitation was particularly sharp inprofessional institutions particularly medical colleges. The higher judiciarydisplayed its chauvinist stance by helping the agitation going against itsotherwise disdain for strikes. Ruling class parties try to deepen divisionsamong the people for their electoral interests. On the other hand theimplementation of reservation is tardy with candidates not being selecteddespite seats lying vacant. Govt. attempts to undermine under variouspretexts. There is a need of penal provision for punishing those who subvertreservation or fail to implement it.

2.68 There has been longstanding demand for reservation in privatesector which is being continuously sidelined by the ruling class parties.

With few recruitments in govt. and public sector and emphasis onprivatization and support to private sector, there is need to build movementon this issue. The issue of reservation for Dalit Christians which also comesup periodically, is also being ignored by the Govt.

2.69 National Commission for Scheduled Castes has few powers andeven less willingness to intervene in cases of discrimination.

Attacks on Minorities2.70 Minorities in India, particularly Muslims, continue to be oppressedand discriminated against. Their condition continues to be dismalirrespective of the ruling class party ruling in the state. Their share in highereducation, govt. jobs, bank loans and other Govt. facilities is much belowtheir population. Sachar Committee brought out some aspects of the neglectfaced by Muslims in the country. Discrimination against minorities continuesin a myriad of ways. While some ruling class parties bring up the questionof reservation for Muslims at the time of elections, when in power they doprecious little to ensure that Muslims get their due share in govt. servicesand in facilities.

2.71 Besides discrimination and oppression, Muslims are subjected toattacks on their lives and properties which brings to the fore not only lackof commitment to their safety on the part of the ruling class parties, eventhose which claim adherence to secularism, but also gross communalizationof police and administration. RSS-BJP have intensified attacks on Muslimswith an aim to create communal polarization, particularly in UP. Recentviolent attacks on Muslims in Muzaffarnagar have displaced over fiftythousand Muslims from their villages. Of particular mention is the role ofSP Govt. which has made Muslims sign affidavits swearing never to goback to their homes nor claim any compensation for loss of their land andhouses after receiving govt. compensation. This shows that Muslims areno more than mere votes for them. While Muslims are seething in angerover the failure of the Govt. to protect them or arrest the culprits of murders,SP Govt. is banking on leaders of religious organizations to deliver theirvotes.

2.72 Over a thousand Muslims were massacred in Gujarat in 2002 andthe cases related to that massacre are still lingering. Muslim youth arebeing targeted in the name of tackling terror. They are indiscriminatelyarrested and killed in cold blood. Muslim youth, particularly in educationalinstitutions, are being targeted as in Bihar after Patna blasts. Police officers

57 58

committing these crimes are rewarded and promoted. Courts do not entertaintheir petitions and NHRC turns a blind eye to them. Several such fakeencounters have taken place. In Batla house two Muslim youth were gunneddown and a large number of youth from Azamgarh were rounded up withoutany evidence.

2.73 Justice is yet to be delivered in the cases pertaining to genocide ofSikhs in Delhi and elsewhere in 1984.

Upsurge in the struggle against violence on women2.74 While women in India continue to be exploited, oppressed andsubjected to discrimination and marginalization, there has been an upsurgein the struggle against violence on women drawing women, youth andstudents onto the streets. Delhi erupted over the brutal rape of a womanparamedical student on December 16, 2012, and it extended to differentparts of the country. The issue galvanized women and students and theirorganizations to come out on the streets in a big way and brought the issueof rising attacks on women into focus. Govt. and ruling classes respondedwith their shrill cries of capital punishment and castration for offense ofrape while their judicial and administrative machinery keeps on acquittingthe accused in a big way. Progressive organizations of women kept oninsisting that the real issue is of certainty of punishment and not of enhancingit and exposed the police, administrative and judicial connivance in thecrimes against women. The issue highlighted the brutal treatment of women,of poor and dalit women in the countryside besides attack on even middleclass educated women in cities. Sexual harassment of women at workplaces continues unabated and the Govt. and judiciary’s approach remainsformal, passing a few bills and judgements but caring little for getting themimplemented. On this issue approach of Govt. and of ruling classes is oftokenism while safeguarding the social structure and values underlyingthese attacks. However, post-Dec. 16 upsurge and people’s outrage atsuch incidents in different parts of the country have brought the issue ofviolence on women onto the agenda and women, particularly urban educatedwomen, feel emboldened to come forth with their complaints.

2.75 Despite commitment of all ruling class parties the Bill to reserveone third of seats for women in Parliament and state assemblies has notyet been passed. The differences among the ruling class parties pertain tothe demand for reserving seats from this quota for OBC women. If themain ruling class parties are keen to reserve seats for women, why are

they so adamant on not allowing a sub-quota for women from backwardcastes? In fact both sides to the dispute only make a show of support butare not serious about the issue.

2.76 Molestation and sexual assault on women has been the practice tohumiliate and suppress a community. Such assaults have also been reportedin violence against Muslims in Muzaffarnagar. Women are subjected tosexual assault and murder by police and security forces in their suppressionof various movements. Women in Kashmir and Northeast are beingrepeatedly subjected to sexual assaults and murder. Three years back aprostitution ring was exposed in Kashmir which was run by Army officersand ruling politicians. Progressive women’s organizations have demandedrepeal of AFSPA which is used to protect armymen guilty of sexual attackson women.

2.77 Equality at work and safety at work place continue to elude women.While they deserve 50% reservation in all spheres of employment, theyare relegated mostly to least paid jobs. The culture being promoted by theruling classes commercializes women’s bodies including mushrooming ofbeauty contests. Women married to NRIs are often subjected to harassmentand exploitation.

2.78 National Commission for Women as well as state commissionsnever stir to any activity despite so many crimes against women except insome cases highlighted by media.

2.79 However women are active participants in all the progressivemovements despite repression. They are participating in the nationalitystruggle in Kashmir and Nagaland, in movement against police atrocitiesin Manipur, in anti-displacement movements and in the revolutionarymovement in villages and cities. We should focus on the issues of workingwomen and of the women of toiling sections.

Struggles of Nationalities are being suppressed2.80 Struggles of Kashmiris and of Nagas for self-determination continue.Peace talks with NSCN(IM) continue to be in limbo as the Govt. is notwilling to concede the rights of Nagas for their own homeland.

2.81 Struggle of Kashmiri people for right to self-determination continuesas also the military suppression of their struggle. Killing of youth and rapeand murder of young women are routine in Kashmir. The armed strikes bymilitants which were low in preceding years, have again revived while mass

59 60

movement continues. Indian Govt. and Army label all these strikes asbeing backed by Pakistan Army. Indian Govt. has no plan of addressingthe democratic aspirations of the people of Kashmir but the people ofKashmir are repeatedly demonstrating their support for right to self-determination through series of struggles. Recent disclosures by formerArmy Chief, V.K. Singh, go to prove that what are shown to be people’sinitiatives or participation are in fact orchestrated and financed by Army.

2.82 In Manipur too, people continue their protest against killings by theArmy and against AFSPA.

2.83 In all the areas where AFSPA is in force, its draconian character ison open display. Public opinion and mass protests are building up for repealof AFSPA. The Govt. of India is resisting the pressure to repeal the Actwhile proposing to make some cosmetic changes.

Struggle for Separate States2.84 Since 2009, people of Telangana have come out on a mass scalefor realization of their demand for separate province. Spurred by a GO, themovement picked up in November 2009 which led to declaration on December9, 2009 for formation of Telangana. However, it was soon followed bypressure from coastal Andhra businessmen and politicians and the CentralGovt. went back on the earlier announcement and constituted Sri KrishnaCommission. The Commission, while giving ample facts to support thecase of Telangana, recommended united Andhra Pradesh as the mostfavoured option. Movement for separate Telangana resumed with vigourand overwhelming proportion of the people of Telangana supported thedemand. A large number of students and youth committed suicide in supportof the demand. However, Congress Govt. remained opposed to the demandwhile all ruling class parties including Congress suffered division. All partymeetings became futile as most of the ruling class parties fielded both theopinions and did not give clear position. After the death of RajshekharReddy in 2009, his son Jagan Mohan Reddy left Congress against hismarginalization by the Congress leadership and carved out a strong basein coastal Andhra and Rayalaseema regions. Finding its prospects anywaydoomed in the above two regions and general elections close by, Congressconceded the demand for Telangana. CWC meeting on July 30, 2013 passeda resolution supporting the demand and Central Govt. initiated steps toform the separate state. Since then a movement opposing bifurcation ofthe state has sprung up in coastal Andhra and Rayalaseema but it is mostly

driven by the state Govt. and ruling class parties. TDP, which had a strongcadre base in Telangana, made many flip flops. Jagan came out stronglyagainst Telangana particularly after Congress announced its decision. CPhas been supporting and participating in the movement. While there is noanti-Telangana mood among the common people of other two regions, theyremain apprehensive of the fallout of the division particularly in relation toirrigation water and also to employment in Hyderabad. TRS’s provocativestatements have added to their worries. While steps to form Telanganamust be expedited, there is also a need to address the concerns of peopleof Rayalaseema, the most backward region of the state.

2.85 Our Party participated actively in the movement, made decisiveinterventions at several junctures and suffered repression. We have beenpart of political JAC. We intervened in protests when KCR was being shiftedfrom Khammam after he had broken his fast, in Warangal protests againsJagan’s meeting, in Million March in Hyderabad. Our participation has beennoteworthy all through particularly in Sakala Janula Samme, in Sagarharaand by public meeting in Khammam.

2.86 After the decision on Telangana, many ruling class parties are raisingthe spectre of such movements in other parts of the country. In fact wherevesuch demands have people’s support, these are longstanding demands othe people e.g. Gorkhaland is being raised since 1909. Gorkhaland agitationis continuing with mass support and we have been supporting it since mideighties as a democratic demand as Gorkha people constitute a differennationality and the economy of the area is quite distinct. The leadership oGorkhaland movement has been hobnobbing with ruling class parties whichhave been using them but doing little in furtherance of Gorkhaland. GJMspearheading the agitation, reached an agreement on Gorkhaland TerritoriaAdministration (GTA) which does not fulfill their demand for separate stateWhile Mamata Bannerjee and CPM are both opposed to Gorkhaland, bothGNLF earlier and GJM now are not steadfast on this demand, set much storeon ruling class parties and do not take other pro-Gorkhaland forces with them

Growth and Development of People’s Struggles2.89 Despite all attempts of ruling classes at repression, deception anddivision, people’s struggles are continuing and growing. Different sectionsof people are coming forward to defend and safeguard their rights andlivelihood and to acquire their due rights. Police intervention in struggles isincreasing and democratic rights are being attacked through deployment o

61 62

paramilitary forces, arbitrary arrests, foisting of false cases and also fakeencounters.

2.90 Poor peasants and agricultural labourers are continuing anddeveloping their struggles for land and wages, braving attacks fromlandlords, their goons and police. Poor peasants and agricultural labourersare waging different forms of struggle against semifeudal exploitation andoppression. They are also raising issues of backwardness andunemployment. Poor rural masses are participating in large numbers inthese struggles. In Andhra Pradesh, Bihar, West Bengal, Odisha and UPstruggles for better wages and against semifeudal exploitation are beingfought. Land struggles are being conducted in AP, Bihar, Odisha, Punjaband other states facing attacks by the landlords and state machinery.

2.91 In AP in a large area, rural people are fighting since a long timeand continuing their struggle facing such attacks resisting attacks of theseenemies with appropriate defence measures. In Bihar in some areas,struggle is being waged confronting these attacks. In other states as wellstruggling peasant masses defend their movement.

2.92 Peasants are fighting against high cost of agricultural inputs andfor remunerative price for their produce. In Punjab, AP, Maharashtra, WestBengal, UP such struggles are being conducted. These issues are beingraised by peasants in other states as well. There have been many strugglesof peasants against shortage of fertilizers, rise in their prices and corruptionin procurement. Peasantry is also fighting against indebtedness in manystates especially in Punjab, A.P. and Maharashtra.

2.93 Anti-displacement struggles have risen in Odisha, West Bengal,AP, Punjab, UP and Maharashtra. In West Bengal and Odisha they reacheda higher level in resistance to attacks by police and goons of the rulingparties.

2.94 Tribals are waging struggles for their land, livelihood and self-rule.Dalits are fighting against caste oppression and for self-respect. Womenare fighting against violence and sexual assaults on them, genderdiscrimination and patriarchy and sexual harassment at work place. Youthare fighting against unemployment and for meaningful life, students arecampaigning against high fees and for good education and against attackson Indian students abroad.

2.95 Workers are waging struggles for defending their jobs and securing

their rights, for new agreements on wages, against contractualization andcasual labour, against cut in wages and for better wages, for safety at workplace, for implementation of basic legal rights. Govt. employees areprotesting against privatization and discrimination against group C and Demployees.

2.96 People are struggling against rise in prices of essential commoditiesand against corruption in govt. offices.

2.97 Of all the struggles of the people, the struggle to build, developand extend areas of sustained resistance are the most important. Basingon the experiences of the past movements and on the concrete conditionsin our country, development of resistance struggle is being undertaken tomobilize the peasant masses in struggle while defending themselves fromthe attacks of enemies and continuing to advance the movement facingsuch attacks thereby preparing the ground for launching armed struggle toestablish base areas as part of protracted people’s war.

2.98 The general struggles against new economic policies are continuing.The implementation of the new offensive of these policies has been thwartedto an extent by these struggles especially anti-displacement movements.

2.99 Revolutionary situation in the country has grown favourable for thebuilding and growth of the revolutionary movement. People are gettingdisillusioned with the ruling class parties and turning to communistrevolutionaries where-ever they are present and intervening in struggles.At many places people are willing and ready to offer resistance to theattacks of class enemies and state forces. While features of overallrevolutionary situation are unmistakable, this situation in our vast and semi-feudal semi-colonial country is unevenly developed in different regions.There is uneven level of movement and also different types of struggles.While participating in all levels of movements and all types of struggle,building and developing areas of sustained resistance is the need of thehour and the situation is favourable for it.

Ruling Class Parties2.100 Despite no single party having won majority in Lok Sabha, rulingclass parties have forged alliances to run govts. It has been possible to doso as there are no major differences among ruling class parties on basicissues, a situation of “political instability with policy consensus.” Theirmain differences are on share in power as well as on account of support

63 64

fascist suppression of minorities particularly of Muslims and of people’smovements. It openly advocates draconian laws. It is a strong supporter ofpro-imperialist new economic policies and of strategic alliance with USimperialism and deepening relations with Zionist Israel.

2.105 After 2004 electoral defeat and ill-health of A. B. Vajpayee, BJPleader L.K. Advani was projected as the PM candidate. To wash away hisearlier crimes against Muslims, during his visit to Pakistan he hailed Jinnahas secular which drew flak from all the ruling class parties, from RSS,Congress and even CPM. But his new found secularism is one ofexpediency.

2.106 BJP has a number of state govts. and these are implementing anti-people policies. Sensing people’s opposition to ruling Congress, BJP-RSShave projected Gujarat Chief Minister Narendra Modi as their prime ministercandidate. Modi combines Hindutva with all service to corporate at theexpense of workers and peasants with low wages and land acquisition- theGujarat model of development, though this is singularly anti-people and infact no model of development. Corporates both foreign and Indian are liningup behind him to intensify implementation of new economic policies. Casesof fake encounters besides pending cases of Gujarat anti-Muslim violence,continue to haunt him.

2.107 With an eye on coming elections, RSS-BJP are trying tocommunally polarize the people, particularly in UP, project developmentas a new mantra and win over middle classes. It has broken its alliancewith JD(U) in Bihar with a design to increase its tally on strength of communalpolarization, going for allies after elections. RSS-BJP campaign has onceagain brought struggle against Hindu communalism as one of the mainagenda of movements.

Regional Parties of Ruling Classes

2.108 There are a number of regional parties of ruling classes which areeither organized on regional basis or draw most of the support from certainregions. These parties are mostly organized either on the basis of region/nationality or religion or caste/s. These parties have been gaining in strength.Even in 2009 elections they increased their overall vote share though theirseats declined. These parties, while articulating the aspirations of the eliteof their constituencies, serve to maintain the present semifeudal, semicolonialorder serving the interests of the big bourgeois big landlord classes.

base in case of regional parties. All these parties represent the interestsof big bourgeois big landlord classes and serve the interests of imperialism.They are all votaries of national chauvinism and oppose the movements ofnationalities. They are deeply mired in corruption. While being in oppositionthey may raise certain issues for public consumption but they implementsimilar policies while in power. All these parties unleash repression on thegenuine struggles of the people though they may shed crocodile tearswhile in opposition. Of late some of these parties are openly siding withcertain industrial houses and are clashing with each other due to conflictof interests of their favourite industrialists.

Congress2.101 Congress has been the largest party of the ruling classes in termsof votes. In 2004 Congress despite decline in its vote share came to poweras leader of UPA due to its electoral alliances. Congress led UPA hasdefended the interests of big bourgeoisie and big landlords and has servedimperialism particularly US imperialism. It came back to power withincreased seats as head of UPA though with only marginal increase in votestaking credit of what little was done and blaming allies for what was not.

2.102 Congress is trying to assert itself as the main party of economicreforms initiated by it, which are pro-imperialist though compulsions ofcoalition continue to operate. While opposing BJP’s Hindutva, Congresspractices soft Hinduism. Like BJP it pursues hard line towards Pakistan.It has made pursuing strategic alliance with US imperialism as its mainforeign policy thrust.

2.103 Congress party is controlled by Nehru family. Sonia Gandhi couldnot become PM due to opposition to her foreign origin. Rahul Gandhi isbeing projected as the next leader, made vice-president of Congress andallowed to run the organization. But he is displaying inaptitude in politicalaffairs despite having all the advantages of power and parentage whichmatter in semifeudal India. Congress, a party of status quo, is finding itdifficult to meet new challenges of the situation. Increasing hardships ofthe people due to policies pursued by its Govt. and rampant corruption inthe Govt. have increasingly turned people against it.

BJP2.104 Despite their loss in 2004 elections, BJP has been repeatedly tryingto drum up majority communalism to come to power. It openly propagates

65 66

2.109 The biggest such party in terms of vote share is BSP which hassupport in many states polling third highest votes after Congress and BJP.Enjoying good support from Dalits, the Party has also attracted leaders ofother castes. Its leader Mayawati is obsessed with any how grabbing powerand has done little to improve the conditions of dalits. Her Govt. in UP didnothing for distribution of surplus and govt. land to the landless, mostlydalits, as it had been proclaiming earlier. She resorted to tokenism ofAmbedkar villages, erecting gates, putting up poles and statues withoutgiving dalits what they need most – land and means of livelihood. Howevershe still enjoys their support compared to other ruling class parties.

2.110 Caste based parties, when in opposition, are able to forge allianceof a number of castes, but once in power, power is exercised by elite of acertain social group alienating other social groups and the alliance isfractured. Even with regard to the main social support group of the party, itis only the elites who benefit while common people are neglected. BSP’salliance with Brahmin landlords and elites who dominated its admn. alienatedbackward castes and dampened the enthusiasm of dalits as these werethe very forces against whom they were fighting.

2.111 Samajwadi Party of Mulayam Singh Yadav won assembly electionsin UP in 2012. He broke his alliance with Kalyan Singh, villain of BabriMasjid demolition, which had alienated sections of Muslims. Since comingto power, its Govt. has unleashed Mafia violence against the people. Severalincidents of communal violence against Muslims have taken place in lastone year. SP is relying on Muslim religious organizations for keeping Muslimvotes intact.

2.112 Ram Vilas Paswan’s LJP failed to win any seats while LalooYadav’sRJD was significantly reduced. It was again defeated in assembly electionsin 2011. Lalu has been sentenced in fodder scam. With the breakup ofJD(U) and BJP, RJD is again smelling victory and is keen on having electoraltie-up with Congress, primarily to consolidate Muslim votes.

2.113 Naveen Patnaik snapped ties with BJP on the issue of seat sharingbut projected Kandhmahal violence by Sangh outfits for the break-up therebywashing away his own crimes in aiding Sangh outfits. He went on a signingspree promising mineral rich land to MNCs and big business houses. JD(U)of Nitish Kumar tried with the help of upper caste dominated media, tohave an image of good governance and gave extensive powers to policeand bureaucracy to suppress the people’s movements. Since his break

with BJP on the question of Modi being named the leader of 2014 campaign,his Govt. is being criticized by the media.

2.114 Mamata Banerjee’s TC has emerged in Bengal as the main partythanks to her role in anti-displacement movement particularly Nandigramwhich started upsurge of people’s struggles against CPM misrule and rollback of its ‘cadre raj.’ TC won parliamentary elections in 2009 and assemblyelections in 2011 in alliance with Congress and subsequently panchayatand urban bodies elections alone. Mamata Bannerjee’s rule, a mix of populistslogans and fascist repression, rhetoric and suppression, continues asCPM continues to symbolize all that is hated by people of West Bengal.TC withdrew from UPA on the issue of FDI in retail trade.

2.115 In AP, besides TDP, YSR Congress has emerged in coastal Andhraand Rayalaseema regions marginalizing Congress in these regions. TDPis trying for alliance with BJP. The rule and role of regional parties is nodifferent from main parties.

2.116 Akali Dal and DMK (along with AIADMK) are the oldest regionalparties of ruling classes. Akali Dal has been ruling in Punjab in alliancewith BJP. Its rule is suppressing workers and peasants and has encouragedmafia in all sectors. Many of its leaders are accused in running drug cartelin Punjab. DMK which lost power in Tamil Nadu to AIADMK, has earned alot of infamy due to corruption scandals of its leaders. It is now trying tocapitalize on Sri Lankan tamils’ issue to recover lost ground.

Defeat of Revisionist Parties and Decline of Parliamentary Path2.117 Massive defeat of CPM led ‘Left’ Front in 2009 parliamentaryelections and 2011 assembly elections is the electoral manifestation oferosion in support of these parties. Since their degeneration into rulingclass parties these parties had been serving as the ‘left’ wing of the rulingclasses and articulating some reforms within the framework of ruling classpolitics. Emerging out of the right wing of old communist movement, theseparties had converted the old base of the communist party among workers,peasants and intelligentsia into their electoral base. In fact the main electoralbases of these revisionist parties had once been the areas of militant peasantmovements and armed struggle. National Democratic Front of CPI withCongress and Kerala-Bengal road of CPM were the political programmesof their coming to power within the system and sharing power with otherruling class parties. In Thiruananthapuram conference, CPM diluted someof its earlier positions and virtually embraced Dangeism in almost totality.

67 68

2.118 In 2004 with simultaneous good performance in both Bengal andKerala, CPM led Left Front had notched up a good number of Lok Sabhaseats. They became the main prop of Congress led UPA Govt. Theyrelegated their third front into reserve and supported the Congress led UPA.In fact keeping BJP out of power and supporting Congress for that avowedobjective and forging third front with regional parties of ruling classes, havebeen their political platforms for sharing power and increasing their sharein power. They were the supporters of NF-LF Govt. in 1989 (from outside),propped up UF Govt. from 1996 to ’98 with CPI participating in it. After2004 elections they chalked up Common Minimum Programme (CMP) andset up UPA-Left Coordination Committee to run the Govt. Their peoplepacked the various govt. committees and state bodies though they did nottake up ministerial positions. In over four years of their association withUPA in running the Govt. these revisionist parties were partners of theUPA Govt.’s anti-people policies and repression of the people’s movements.

2.119 With the increasing instability of ruling class politics and rise ofregional parties, CPM leadership started vying for greater role in power atthe centre. Old strivings gave way to new as old aging leadership yieldedplace to a younger lot. Since 2004 CPM leadership viewed itself as themain power broker at the centre articulating arrogance and projecting itselfas the main architect of UPA policies. With enjoying power within thissystem continuously for 34 years in West Bengal and periodically in Kerala,corruption had seeped into its ranks from top to bottom. There is practicallylittle difference with other ruling class parties in its basic positions orcomposition and conduct of its leaders at various levels.

2.120 In West Bengal in particular the continued long run in power hadgiven rise to total identification of govt. structure with that of the Party. Notonly were CPM cadres recruited into police and administration in largenumbers, the administration at local level especially in rural areas was runby the CPM cadres in league with police and bureaucracy. This came to becalled the ‘cadre raj’. Panchayati institutions were controlled by them, PDSoutlets were controlled by them, hiring out of labour was controlled by them,even issuing of certificates was controlled by them, to name a few.Controlling the police and administrative machinery CPM unleashed reignof terror against their political opponents particularly communistrevolutionaries. They were intimidated, beaten and killed. Their activitieswere brutally curbed and if they did not accept it, they were ejected fromtheir areas. CPM did not spare even its ‘left’ Front allies and their cadres

too were subjected to violence if they did not accept the diktats of the bigbrother.

2.121 With UPA Govt.’s offensive for the implementation of pro-imperialistpolicies hitting the road block of land acquisition, CPM through Govt. inWest Bengal came forward to show the way and thereby emerge as theleader of ruling classes and saviours of MNCs and big business houses.Drunk with power and confident of their cadres subduing peasant resistance,CPM allotted fertile land of Singur to Tatas, a land of their choice and far inexcess of their declared requirement. They invited Salim Group of Indonesiabelonging to the family of notorious anti-communist Suharto for developingSEZ in Nandigram. They had bitten the very hand that fed them. It waspeasantry which had kept them in power, they chose to strike at them.

2.122 Nandigram erupted. They successfully resisted CPM goondas aidedby police. March 14, 2007 became a symbol of defeat of CPM machinery.14 people were killed but the peasants stood their ground. CPM could notcapture the area. Second attempt at ‘recapture’ in November 2007 wasagain eventually beaten back though with heavy casualties. CPM askedfor and UPA Govt. sent central paramilitary forces to quell the peasants.Nandigram resistance took the lid off the people’s anger as invincibility ofCPM’s cadre raj stood exposed. Attacks on CPM offices for PDS andpanchayat corruption took place, people protested against shielding theguilty in Rizvanur murder case, protests kept rising against misrule of CPM.Nandigram was also significant in the fact that the majority of peasantsthere were Muslims. Then came the shattering report of Sachar committeewhich exposed the myth of minority friendly CPM as it lagged behind mostother states in minority welfare. They were long wielding their secularismto corner the votes of Muslims, nearly one fourth of electorate in WestBengal, but did nothing to help their conditions.

2.123 In Kerala, the other large base of CPM, faction fighting had beengoing on for a long time, of late between factions of state secretary Vijayanand Achuthanandan. The content of this fight is between old revisionistline and new leaders more in tune with new revisionist line.

2.124 UPA Govt. propped up by ‘Left’ parties implemented anti-peoplepolicies with some reformist measures not unusual for ruling class parties.This govt. pursued strategic relations with US imperialism and furtherdeveloped relations with Israel. It deployed security personnel in Afghanistanwhile twice voting against Iran in IAEA. Even on US-India Nuclear Deal

69 70

CPM leaders had been expressing full agreement with Manmohan Singh’sstatements and agreed with Indian Govt. approaching IAEA for India specificsafeguards. With over four years in power it was only with electionsapproaching that CPM chose to withdraw support from UPA Govt. on NuclearDeal to capture opposition space during the elections.

2.125 Its decline in West Bengal has importance beyond an electoraldefeat. It is a decimation of cadres controlling administrative machinery.Many of the anti-socials supporting them have switched over to TMC.However, its leaders are rebutting the real reasons for its decline. Declineand decay of CPM is decay of revisionist party which had degenerated intoa ruling class party and wanted to emerge as one of the main ruling classparties.

2.126 Other parties of ‘Left’ front- CPI, RSP, Forward Bloc had long ceasedto have any independent line or practice. They are dependent on CPM forgetting representation in Parliament and have since long been used tocrumbs of power. CPI has progressively declined and cannot look beyondparliamentary representation. However with decline of big brother, theseparties feel more inclined to voice their differences. CPI has tried to takecertain initiatives while keeping its alliance with CPM intact.

2.127 CPI(ML)-Liberation has for quite some time been propagating forunity with revisionist CPI and CPM. In 2009 parliamentary and2011assembly elections it could succeed in forging electoral front with CPIand CPM in Bihar and Jharkhand. But the performance of this ‘Left’ Fronthas been dismal even compared to their own performance earlier. With thisalliance Liberation has lost in people’s perception whatever claim it had asa revolutionary organization. The cherished dream of Liberation of leftconfederation was realized at least in elections and turned sour.

2.128 SUCI could get a seat in Lok Sabha in 2009 in alliance withTrinamool while in 2011 it could win only one assembly seat despite alliance.SUCI is very cagey about joint action on people’s issues but has littlehesitation in striking deals with ruling class parties during elections.

2.129 One of the most significant feature of the past election has beenthe decline of revisionist parties and their parliamentary path. It is not thatthey would give up their path or that this trend will die, but that illusionsamong the people about these parties and their parliamentary alternativesand path will be less and more easy to dispel. In that respect too theprospects of people’s struggles have improved.

Political Situation in Neighbouring Countries and Attitude of IndianRulers : Foreign Policy2.130 Since the disintegration of the erstwhile Soviet Union and social-imperialist camp, Indian rulers have drawn close to US imperialism andthese relations have progressively strengthened though Indian rulersmaintained relations with other imperialist powers too. When US imperialismlaunched its ‘global war against terror’ Indian rulers tried to jump onto thisband wagon. They sought to emerge as a regional hegemon under thetutelage of US imperialism. The ‘Left’ supported UPA Govt. that came topower in 2004 continued with developing strategic partnership with USA.While USA considered India as a useful ally against China and the Muslimcountries, Indian Govt. sought to establish its regional domination and largerrole in Asia under the US umbrella. They have participated in PSI relatedmeetings with US, Japan and Australia, repeatedly voted against Iran inIAEA, refused permission at the behest of US imperialism to North Koreanplanes to fly over Indian air space and even voted for US backed resolutionson Syria in Security Council. Under pressure of US imperialism theGovt.backed out of Iran-Pakistan-India gas pipeline though it is in India’sinterest.

2.131 Over last decades India has strengthened military relations withUS and Israel though Russia continues to be the main supplier of defenseequipment. Large purchases of arms were made from Israel. A large numberjoint military exercises have been conducted by India and US. US warshipswere give facilities on Indian ports and fuelling facility to US warplaneswas extended on a regular basis. Indian Govt. is opposing proposed USwithdrawal from Afghanistan. With the decline of US power and influencein the world, Indian Govt. is trying to improve its relations with other powers.However, it continues to be part of “Contain China” policy of USA. IndianGovt. has continued with big brotherly bullying attitude towards smallneighbouring countries. However, increasing inter-imperialist contradictionsin South Asia and Indian Ocean are impacting Indian Govt.’s attitude towardsits neighbourers.

2.132 Nepal has witnessed big changes in this period. After Gyanendraassumed executive power an understanding was reached between Maoistsand parliamentary parties facilitated by Indian Govt. After Jan Andolan IIGyanendra had to relinquish power and restore the Parliament. Under thepressure of CPN(M) monarchy was abolished. In the elections to the

71

Constituent Assembly Maoists emerged as the single largest party butwere short of majority. In a way, old parties were down but not out. Oldorder had been weakened but not decisively defeated and revolutionaryforces had been strengthened but were not decisively victorious. Withelectoral victory CPN-M (later UCPN-M) considered the political task ofthe revolution completed while old state structure remained intact. IndianGovt. kept on interfering in the internal affairs of Nepal and mobilizing theold parties for keeping Maoists on the leash. A succession of Govts. ledby UCPN-M and UML leaders formed with Indian interference failed to breakthe deadlock in constitution writing. With UCPN-M giving up revolutionaryorientation and taking up the task of consolidating multi-party democracy,question of federalism became the main question. Ultimately, CA wasdissolved leading to elections. In this period, UPCN-M got divided. In theensuing election, UCPN-M emerged as distant third with NC as the leadingparty and UML a close second. In a way the old parties have come back instrength and even royalist RPP-Nepal has recuperated strength. In a way,the only gain of the people’s war and Jan Andolan II has been to abolishthe monarchy and clear the bottlenecks of 1991 Constitution. Recentelections will not do away with political uncertainty and Indian ruling classes’interference will continue.

2.133 People of Pakistan are seething with anger against Pakistan Govt.’sparticipation in US led war and continued US drone strikes in northernareas of Pakistan. Military dictator Musharraf dragged Pakistan into thiswar and attacked higher judiciary. He faced a powerful people’s movementwhich forced him to come to an agreement with PPP. In the elections PPPemerged biggest party with PML-Nawaz second largest party. Musharrafwas ousted and he fled the country. PPP Govt. continued with participationin US led war in Afghanistan and drone strikes in Pakistan, indulged inwidespread corruption while earlier corruption cases were pending. Conditionof people worsened while Army continued to exercise real power. In theelections held in 2013, on the strength of people’s anger against Pakistan’sparticipation in US led war and drone strikes, corruption of PPP led Govt.and growing hardships of people, PML-Nawaz came to power while ImranKhan’s PTI also did well. However, since coming to power Nawaz Govt.has neither stopped drone strikes nor improved the lot of the people. Todilute the power of the Army establishment, Nawaz is talking of improvingrelations with India but the dominant establishment in both countries is notin favour of an improvement in bilateral relations. Nawaz Govt. also

represents the same comprador capitalists and landlords like PPP and nomajor change of direction is expected. Pakistan senses an opportunity toincrease its influence in Afghanistan with US’s proposed withdrawal and isdeepening its relations with China and Saudi Arabia. However, US hasclose relations with Pakistan Army and ruling elite of Pakistan.

2.134 In Bangladesh, Sheikh Hasina and Begum Khalida Zia have beenruling alternately over the past two decades. With the support of westernpowers and Indian govt. Army took reins of power and put the two leadersbehind bars on corruption cases. This Army takeover was not criticizedeven by the perennial advocates of democracy. After nearly two years ofArmy rule, elections were held and Sheikh Hasina came to power. The realreason of the military take over and its support by India and western powerswas the alliance Begum Khalida had with Islamic parties and their oppositionto America and India. Sheikh Hasina Govt. constituted tribunals to try thoseaccused of murders and rapes in 1971 war in collaboration with PakistanArmy. Verdicts of these tribunals indicting main leaders of Jamat-e-Islamihave created divisions in Bangladesh society. The main ruling class partiesare pitting Bengali nationalism and political Islam against each other whilepeople continue to groan under the misrule. Workers of garment factories,sweatshops, have launched big strikes and demonstrations against inhumanconditions, while MNCs getting their brands produced there deny theirliability. This sector, the biggest foreign exchange earner of Bangladeshand largest industrial employer, continues to be the mainstay of workersmovement. Indian Govt. is backing Sheikh Hasina in the present conflict.

2.135 In Sri Lanka, Rajapaksa Govt. launched a full scale military attackagainst LTTE bases in North and East Sri Lanka using the rivalry betweendifferent powers for control over trade routes in Indian ocean in which SriLanka occupies a crucial position. It is well known that Indian Govt. hasbeen openly interfering in Sri Lanka on the pretext of Tamil interests. Theyhad armed and trained LTTE and having browbeaten the then JayawardeneGovt. sent Indian Army to Sri Lanka to suppress LTTE. India does notwant independent Tamil Elam as it fears encouragement to Indian tamilsfor similar course. China and Pakistan started forging close relations withSri Lanka and started supplying arms and ammunition to the Govt. India,to prevent China and Pakistan becoming main suppliers, offered and forcedthe Sri Lankan Govt. to take arms and also trained personnel from India.Rajapaksa Govt. sensed an opportunity of scoring military victory andlaunched an all out war. LTTE arms supplies were stopped and Tamil

72

diaspora’s financial support was blocked with western powers enforcingthe ban stringently. LTTE was isolated. They however continued to wagepositional warfare against much stronger enemy. They had a lot of faith inruling class parties in Tamilnadu which shed crocodile tears for them. Thisillusion was to prove costly. LTTE should have changed its war tacticsappreciating the changed international and regional melieu. Leaders of LTTEincluding its Chief Prabhakaran died fighting Sri Lankan Army. A largenumber of civilians were callously killed by Sri Lankan Army in the closingstages of war. After the war, Sri Lankan Govt. carried out witch hunting oftamil activists and did not address the democratic aspirations of Sri Lankantamils. Recent elections in tamil areas, swept by TNA, have once againproved that the issue of democratic aspirations of tamil people continuesto agitate Sri Lankan tamils and needs to be addressed.

2.136 Sri Lankan tamils have been living in the island for thousands ofyears. Sri Lankan tamils have had their own rule over long periods of historyand for quite some time ruled over the whole of Sri Lanka. They live incontiguous areas of north and east, have their homogenous economy, havetheir own language and culture. They are a nationality of Sri Lanka inhabitingthis island for as long as majority Simhalas. They have a right to self-determination and it is upto them to decide what form this takes includingTamil Elam. We must extend support to their right while opposing IndianGovt.’s attempt to exercise domination over Sri Lanka.

2.137 Defeat of LTTE has emboldened the ruling classes of India andother countries particularly of South Asia as they confront armed resistancefrom different quarters. While lessons need to be learnt from the militarydefeat of LTTE, the euphoria of ruling classes is misplaced.

2.138 Maldives, an island country in Indian ocean, witnessed politicalupheaval over past years and Indian Govt. interference in their internalaffairs was called into question.

Govt.’s War against Revolutionary Movement

2.139 Manmohan Singh has been articulating for many years that ‘leftwing extremism’ is the main security threat for the country. Before thatL.K. Advani, when he was Deputy PM, had said that Naxalites are theenemy of the India of his dreams. Both Manmohan Singh and Advani wantto facilitate the loot and plunder of the country specially its mineral resourcesand find ‘left wing extremism’ or Naxalites as main obstacle in that.

2.140 With the increasing burden on the people and the deterioration oftheir conditions, marginalization of rural poor and anger sweeping them,deepening economic crisis and no help to the people, Govt.’s drive todisplace people from their land and sources of livelihood and peasants’resistance to it, Indian Govt. is apprehensive of the growth of therevolutionary movement and senses danger to the rule of big bourgeois biglandlord classes subservient to imperialism from this growth. Leaders whoare inspired by the colonial rule over India can have no other vision of Indianor any feeling for the country and its people. They know that people aredeeply unhappy and growth of revolutionary movement will bring them tochange the system. While their expansionist ambitions have made themgendarme of South Asia, their own feet of clay lead to their aggressivenessagainst the revolutionary movement.

2.141 It is to intensify the war against ‘left wing extremism’ that hugefunds were allotted, large forces, nearly a lakh, were assembled and speciallytrained besides police forces. Responsibility of this training was given tothe Army. Air Force was also being roped in. Hills and forests are the primescene of action and tribals’ land with its resources, prime prizes of war.

2.142 Though the Govt. mentions CPI (Maoist) as their main target andhas imposed a ban on it under UAPA, this is an offensive against therevolutionary movement as a whole, against those who are working anddefending the interests of tribals and rural poor. Salwa Judum typeorganizations were formed, armed, financed and sustained by the state torecruit tribals to kill tribals. Special police forces, Grey hounds, CRPF etc.are deployed in large number in forest areas, rewards declared on the headsof leaders of revolutionary organizations.

2.143 War against people was opposed by wide sections of people,particularly by progressive intelligentsia seeing it as a move to grab mineralresources located in Central and Eastern India. Meeting with widespreadopposition and resistance by the people attacked, Central Govt. has pursuedthis attack with over a lakh paramilitary forces with logistic support fromthe Army centred on Chhatisgarh. Rather than all out attack, Central forcesare surrounding and pressing them out. Besides this paramilitary attack,Central and State Govts. have arrested and kept under detention thousandsof people in false cases using the draconian provisions of UAPA. BesidesCPI (Maoist) leaders, a large number of tribals from Chhatisgarh, Odisha,Jharkhand and Wear Bengal are in jails.

73 74

Communist Revolutionaries are the only alternative2.144 In view of the deepening crisis and its disastrous effect on thepeople, people’s yearning for change is growing. On the other hand there isconsensus among the parliamentary ruling class parties on the policieswhich have brought this about and on how to respond to it. Only communistrevolutionaries have a programme for real change and the path for bringingit about. Only they are working among the people with the orientation tobring about revolutionary change and are leading their struggles.

2.145 To bring this about urgent and vigorous efforts should be undertakento build, develop and extend areas of sustained resistance. We should payserious attention to build and develop fighting capacity of the people, developarmed volunteers from peasants, preserve and develop self-defense squadsand other fighting defence units. In the concrete conditions of the countryat present, building and extending such areas gives the requisite initiativeto develop the movement and requisite strength to intervene on the nationalscene.

2.146 We should draw broad masses of revolutionary classes into struggleand to that end we should build and develop struggles of different sectionsof people and also intervene in their ongoing struggles.

2.147 To be able to do that - particularly building, developing and extendingareas of sustained resistance - the whole party should unite firmly toimplement the line of the Party. We should wage relentless struggle againstsloth, passivity, routinism and all other trends opposed to undertaking thetasks before the Party. For developing the resistance struggle party cadresat all levels should be imbued with the orientation and spirit of armedstruggle. Though the tasks are different but without such orientation andpreparedness resistance struggle cannot be built as it is a step towardslaunching of armed struggle in the concrete conditions of our country.

2.148 To play our role in developing the revolutionary movement andmeeting the requirements of the situation, cadres at all levels must combinerevolutionary perspective with concrete work, combine acquisition oftheoretical knowledge with undertaking greater responsibilities and combineinitiative with hard work avoiding no hardship and fearing no risk and neverbeing complacent, self-contented and conceited.

2.149 Cadres at all levels must wage determined struggle againstrevisionism and rightism and develop necessary understanding to spot and

exercise vigilance to combat false theories and wrong practices. To developrevolutionary orientation, deepen revolutionary understanding and rally thewhole party to complete the present tasks, we should wage relentlessstruggle against rightist understandings prevalent in the whole party and indifferent states. We must fight against right and ‘left’ deviation in our worktaking right deviation as the main danger at present and wage ruthlessstruggle against left phrases and rightist practice.

2.150 To undertake our responsibilities in the present situation Party wouldhave to change its present work style and form of organization. We have toremould ourselves in accordance with requirements of advancing themovement as outlined in our Party documents. And change to be meaningfulwould involve giving up many practices we have become used to andacquiring new style of work which would require effort. The time to changeis here and now.

Immediate Tasksi. Develop and build areas of sustained resistance in the countrysidewith the perspective to build base areas through armed struggle. Developthe fighting capacity and militant strength of the peasant masses to resistlandlord-goonda-police violence and continue to expand the areas ofresistance struggle despite their attacks. Take this task as the key task atpresent.

ii. Mobilize the people against pro-imperialist economic policies. Buildstruggles of different sections of people against WTO dictated policies andWB agreements. Build struggles against opening different sectors to FDI,particularly retail trade, telecom, defense production, financial servicesand PF. Build struggle against surrendering the interests of the country inDoha round of negotiations. Oppose giving land to the MNCs for mining,industrial projects and corporate agriculture.

iii. Develop and build struggles of poor peasants and agriculturallabourers for land and wages, against eviction of tenant peasants, againstusury, backwardness and unemployment and against all forms of semifeudaloppression. Intensify struggle on land issue on different types of lands andmobilize vast sections of peasantry in its support. Expose corruption andinadequacies of MNREGS and fight for adequate employment to rural poor.

iv. Develop struggles of peasantry against rise in costs of agriculturalinputs, for Govt. procurement of agricultural produce at remunerative prices,

75 76

for declaration of MSP before sowing of crops, for crop insurance againstall causes, against privatization of water and electricity and cut in fertilizersubsidy, for their rights over seeds. Struggle for free power for agriculturaloperations and domestic use of peasants and rural poor.

v. Develop struggles of peasantry against indebtedness and for betterterms for agriculture. Struggle for relief to the indebted peasantry.

vi. Build, develop and support struggle of peasant masses againstforcible displacement, and for rights over their land, livelihood and culturalrights. Build and support their resistance against forcible displacement.Build and develop democratic opinion against such displacement. Buildmovement for scrapping of SEZs.

vii. Develop the struggles of workers against attacks on jobs and rights,against increasing contractualization and for their regularization in service,for implementation of labour laws, for safety at work place, againstdisinvestment and privatization, for better wages and against freeze andcut in wages. Oppose discrimination against blue collared workers, casualworkers and group C and D employees in wage agreements and paycommissions. Build struggle against closure of industries and removal ofworkers’ dwellings in the name of beautifying cities. Give due emphasis towork among contract and casual workers. Develop Party organization amongworkers. Wage determined struggle against reformism, economism andlegalism in the working class movement.

viii. Develop struggles of tribals for their rights over land, water andforest produce, for their livelihood and cultural rights and against exploitationand oppression by landlords, contractors, forest officials, police and rulingclass parties. Build their struggles against their displacement from theirhabitat, for restoration of their lands occupied by non-tribal landlords andfor their self-rule in their areas.

ix. Develop struggle against caste oppression and violence againstdalits and oppressed castes, sexual assaults against women of thesesections and for their equality. Build struggles for proper implementation ofreservation in jobs, promotions and education and for reservation in privatesector. Struggle against upper caste chauvinism. Make struggle againstcaste oppression and for implementation of reservation part of thedemocratic movements of different sections.

x. Oppose and struggle against attacks on lives, properties andreligious places of minorities and their displacement and police persecution

of Muslims in the name of fight against terrorism. Fight for properrepresentation of minorities in govt. services and govt. facilities. Fightagainst communalism of all hues taking majority communalism as the maindanger.

xi. Develop struggles against violence on women, for ensuringpunishment to all guilty of sexual assault against women and theirharassment in all forms including at work places, for equality for women inall walks of life, their equal participation in economic, social and politicallife of the country at all levels, for 50% reservation in all spheres ofemployment. Intensify struggles of women against patriarchy and oppressionand discrimination in all forms.

xii. Develop struggles of students and youth for uniform, scientific,progressive and good education, against privatization and commercializationof education and for employment for all. Build their struggles againstcommunalization of syllabi, against distortions of history, against entry offoreign universities and tailoring of Indian education to facilitate such entry.

xiii. Develop and strengthen movement for civil liberties and democraticrights, against use of Army and paramilitary forces against the struggles ofpeople and revolutionary movement and for removal of their camps, againstblack laws and for their repeal. Struggle against bans on organizationsunder oppressive laws; against custodial deaths, fake encounters, foistingof false cases, arbitrary arrests and denial of bail, against arrests underblack laws and against all prohibitions of freedom of speech, assembly,organization and struggle. Oppose restrictions on the exercise of democraticrights. Cooperate with other forces to defend civil liberties and democraticrights.

xiv. Build struggles against decadent imperialist and feudal culture andstruggle for democratic and progressive culture. Take measures forpropagation of the same. Oppose entry of foreign capital in print andelectronic media.

xv. Support the struggle of Kashmiris and Nagas for self-determination.Struggle against unequal treatment of nationalities and languages andbackwardness of the regions. Support the formation of separate states ofTelengana and Gorkhaland.

xvi. Fight against rise of prices of essential commodities andstrengthening of PDS to reach out to all the people. Fight against reductionof entitlements under FSA.

77 78

xvii. Fight for abolition of indirect taxes and for implementation ofprogressive direct taxes.

xviii. Expose high expenditure on defense budget and on repressive policeand paramilitary machinery.

xix. Mobilize the people in fight against corruption at all levels and forensuring punishment to corrupt. Fight for protection to whistle blowers andfor ensuring services to common people.

xx. Build joint struggles on people’s burning issues with a view to drawthem into struggle with emphasis on joint struggle at lower levels.

xxi. Undertake joint actions with communist revolutionaries against therepression on people’s movements and for projecting an alternative beforethe people of the country.

xxii. Intensify efforts for unification of communist revolutionaries in asingle Party of Marxism-Leninism-Mao Zedong Thought upholdingprogramme of NDR and path of protracted people’s war basing onrevolutionary mass line.

xxiii. Intensify efforts to take revolutionary politics to the masses.Improve quality, quantity and regularity of party organs. Pay attention tousing different means of propaganda available for dissemination of themessage of revolutionary change.

xxiv. Establish Party deep in the struggles of the people. Change theorientation, work style to devote main energy to the key task of the Party.While developing different forms of struggle and organization, takedeveloping a strong secret Party as an important task on the organizationalfront. Imbue the Party ranks with the spirit of self-sacrifice, devotion tohard work and total commitment to the people.

xxv. Build and develop struggles of the people against strategic alliancewith US imperialism and various agreements which are part of deepeningsuch alliance e.g. Nuclear Deal, participation in PSI etc.

xxvi. Mobilize the people against Indian support to US aggression inAfghanistan and to US moves against Iran and North Korea.

xxvii. Mobilize the people for friendly relations with neighbouring countriesand to oppose the big brotherly attitude towards them and interference intheir internal affairs. Oppose Indian Govt.’s expansionist designs against

neighbouring countries and for equitable distribution of river waters. Opposeattempts of Indian Govt. to unleash war hysteria against Pakistan.

xxviii. Mobilize the people in support of the national liberation strugglesbeing waged by the people of third world countries. Vigorously support therevolutionary armed struggle being conducted in some countries. Mobilizethe people against Indian Govt.’s support to reactionary rulers againstrevolutionary movements in other countries, particularly neighbouringcountries.

xxix. Mobilize the people against wars of aggression being conductedby US imperialism and other imperialist powers. Support the wars of thepeople of Afghanistan and a number of African countries against foreignimperialist invasion.

xxx. Support the struggle of Palestinian people against Zionistaggressors and for their national rights. Support the upswing in the struggleof Arab people against imperialist supported autocratic regimes and fordemocratic rights.

xxxi. Support the struggle of Govts. of third world countries againstimperialist subversion, intimidation and blackmail e.g. Iran, North Korea,Venezuela, Cuba, Syria, Bolivia, Nicaragua etc. Support the struggle ofpeople in different countries against imperialist exploitation, oppression,intimidation and plunder of their resources. While opposing all imperialists,take US imperialism, the biggest and still most aggressive imperialist power,as the main target of attack.

xxxii. Mobilize the people in support of the struggle of different sectionsof people in different countries against imperialism and domesticreactionaries.

xxxiii. Support the struggle of workers in developed capitalist countriesfor jobs and rights and against attacks by MNCs. Support their strugglesagainst placing the burden of the present crisis on them including “austeritymeasures”.

xxxiv. Intensify ideological offensive against imperialism, their economictheories and in defense of Marxism-Leninism-Mao Zedong Thought.

xxxv. Forge closer fraternal relations with Communist Parties followingMarxism-Leninism-Mao Zedong Thought/ Maoism and develop closerrelations with revolutionary forces engaged in revolutionary struggles intheir own countries.

79 80