Tuesday, July 12, 2016

HOW TO CREATE NON-DIGITAL JOBS?


Bikash Choudhury


Raghuram Rajan, RBI Governor in one of his lecture said “if you down load a movie and enjoy at home; it does not make any economic activity. However, if you go to a theater to watch movies, it does” simple logic is if you go out you have to spend cash on transport, buy a movie ticket on the counter and buy food in the cafeteria; all these make you relax and happy and at the same time it create jobs for many others and therefore add to our Gross Domestic Product (GDP). So thumb rule remains every rupee that is spent if creates a job or fractions of a job, then it is advantage to economy as it goes on adding a virtuous cycle of prosperity depending on the nature & quantum of expenditure.
                                            Simple cooking skills for interested unemployed youth/school drop outs could add a million jobs in our economy. The story is about the challenges of Double income families living in the six metro cities of our country; both of whom drive at least one and half hour for work and find it very difficult to cook at home; mostly live on bought out foods delivered at home which is very expensive and not very healthy. They can afford a good, properly trained cook at home for one break fast, lunch/dinner a day at Rs 5000 a month. If we assume the population of six metro cities of India: Mumbai, Delhi, Chennai, Kolkatta, Hyderabad and Bangaluru at 6 crore and number of families at 1.5 crore and further assume that only 30% families would need & have ability to pay Rs. 5000 a month then approximately we are looking at  5 million families. If one well trained cook could serve 5 families in a 8 hours roaster then we are looking at 1 million jobs that could earn a person about Rs. 10,000-Rs. 15,000 a month enough for a good living for the starters; as they get more experience then they could probably branch out in the food business as entrepreneur or add specialized skills in cooking to become a Chef in Hospitality Industry or could migrate to middle east/western countries and earn a fortune to repatriate to their families back home. Further, we will need a retinue of professional Skill Development Institute for cooking; if one institute can produce 1000 well trained cooks a year then we may require one thousand such Skill Training Institute in the country. And, we shall need at least 10 business organization as Service Providers—Home Cooking, in each metro city that makes it 60 for all six metro cities. This exercise not only reveals the potential of Job Creation in the economy by finding a simple solution to mundane problem of Home Cooked Food for Double Income Families in metro cities; it also indicate the capacity of further growth of economy as series of multiplier effects could happen at different nodes at different life cycles in the Industry. The externalities that comes to mind immediately is the comfort of working house wives with the service of a cook at home; further, they get little more free time for recreation & rejuvenation that aids creativity at work resulting in innovation & enterprise. In the mirror image one million cooks on the job would enhance their personal consumption fueling demand for goods & services worth Rs.10, 000 crore per annum while Rs. 2000 crore could be added to our savings. Again, there are scopes for earning foreign currency for the country with growing numbers of old age people in developed countries, who may need the services of home cook food or a cook at home. All of these could lead to a huge economic activity that benefits a large section of our people at the bottom of the pyramid.        
                        

If you have bought a fifty gram pack of Haladiram salted pea nuts @ Rs. 10 recently from your neighborhood corner shop; then, you would have actually paid
Rs. 200 for one kilogram of just salted pea nuts hygienically packed with a brand name—no rocket science involved. Do you know how much a farmer is paid for the same 1 Kilogram of raw pea nuts? That varies between Rs.50-80 a Kilogram. The spread remain between Rs.120-Rs.150 for kilogram which is a huge amount for the kind of value addition in terms of food processing. This problem can be turned in its head to create substantial amount of jobs in rural areas in food processing. Rural areas are short in basic technology for food processing, awareness & need of hygiene for food items, packaging and marketing muscle. All of these can be provided for by an entrepreneur from bigger cities at a price to make processed food like salted pea nuts and other items at the “pit head” in rural areas at a fraction of cost in collaboration with “Farmer Collectives”; if they share the spread equally then they both pick up Rs.60-Rs.75 a kilogram which would be huge jump in farmers income with additional opportunity of creating non-farm jobs in the rural areas and at the same time it would be a hugely profitable venture for the business men in bigger cities. It may so happen in future Global Retailers would source processed food from Indian Rural Areas directly making a huge economic activity with creation of new trades of employment. If we could revamp the “SUPW—socially useful productive work” curriculum in the schools of rural areas and train school children on food processing then we could simultaneously create rural job ready work force in food processing. This case study if successfully executed could eliminate about 40% of food waste between “farms to plate” adding its own contribution to our economic growth.    

                               India has earned a name for its Art, Craft and Architecture for thousands of years and all across the globe. However, our Financial Institutional Investors like Life Insurance Corporation and Mutual Funds have deserted our creative people. If our FII start investing 1% of their corpus in Indian Art then we could soon persuade or attract ordinary house holds to keep at least one Indian Art Piece in their living room; that, over a period of time will at least add half million jobs in our economy; how? India has a vibrant eco-system for Art & Architecture which remains dormant due to investor’s apathy. If domestic FII give an initial leg up to our Creative Industry then that could create a robust demand for Art, Art Gallery, Art Museum, Auction House, Art Publication, Rating Agency and professionals needed to run such institutions at the back of enhanced public interest in consequence of demonstration effect. It could soon transform India into a Global Hub for Art driving creativity in the country. Be that as it may; it is apparent, we can also create huge amount of jobs in non-digital medium by solving very mundane problems and also playing into our core strength. Shall we?

Authors Bio: Socio-Economic-Political Activist and Freelance Writer on Socio-economic and Political Issues. Contact: streben.market@gmail.com


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