Resources Research

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Posts Tagged ‘Hyderabad

Does KFC want 13-month-old infants in India to eat its chicken?

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A schoolgirl walks under the KFC advertisement in Bengaluru (Bangalore). This hoarding is visible to all traffic on one of the city’s major roads, Richmond Road.

Kentucky Fried Chicken (KFC) in India is advertising a chicken meal that costs 35 rupees (USD 0.67, EUR 0.51). Hoardings such as this one are visible now in all the major metropolitan cities (Mumbai, Bengaluru, Chennai, Hyderabad, Kolkata, Delhi) and KFC has taken outdoor advertising space along major roads in these cities.

This hoarding advertises “Real chicken” for 35 Indian rupees, “KFC wow! price menu”. In small letters on the lower bottom right of the hoarding the advertisement also says: “Products contain added monosodium glutamate. Not recommended for infants below 12 months”.

There are two culprits here at work to further the interests of the junk food/fast food industry. One is the Food Safety and Standards Authority of India which is nowhere near as vigilant as it ought to be, especially given its ‘Advisory on Misbranding/ Misleading claims’ which invokes the Food Safety and Standards (FSS) Act, 2006, Rules & Regulations, 2011. This has said: “(2) The various false claims made by the Food Business Operator about food articles and consequent violation, if any, are punishable under the provisions fo FSS Act, 2006; (3) Violations related to food items, seriously jeopardize public health as well lead to unfair gains to Food Business; (4) Misleading advertisement related to food items are imputed with malafide intent on the part of person making the claim and is normally made to misguide a consumer to purchase food item without disclosing the complete details on the advertisement. Companies (Corporate bodies including firm or other association, individual) are also covered u/s 66, FSS Act, 2006.”

The objectionable disclaimer is in small letters on the lower right edge of the hoarding, unnoticeable to passing traffic.

The other culprit is KFC and its parent company, Yum! Brands, Inc. Just how important is India to Yum! Brands? Consider the statement by the company’s chairman and chief executive officer, David C Novak (available right now on the company website) in which he has mentioned India and its market:

” …we have made incredible progress in India, opening 101 new restaurants in 2011. Ten years ago, we were essentially just beginning with KFC in India, and now it’s our second leading country for new unit development. In fact, we’re so excited about our prospects in India, and its impact on the future growth of Yum!, that we’re going to break it out as a separate division for 2012 reporting directly to me. It’s encouraging to see that our new unit progress with KFC in India is very similar to what we saw in China during its first 10 years. Our India team has identified the key elements driving success in China and are adapting these strategies in India to leverage our iconic brands and build concepts with broad appeal.”

No thank you. We want 0 such restaurants per 1,000,000 people

India’s business and financial English-language dailies, since they function as mouthpieces of industry and propaganda sheets for industry and trade associations, and since they function as uncritical endorsers of the current ruling regime’s reckless gallop into ruin, have had only laudatory noises to make about the invasion under way by KFC and similar global junk food peddlers.

The Economic Times published a gushing interview with Muktesh Pant, CEO of Yum! Restaurants International, which is described as running “the international operations of US quick restaurant chains Kentucky Fried Chicken, Pizza Hut and Taco Bell restaurants”. The newspaper asked: “How is the Indian restaurant market evolving, compared to say China?” and Pant answered: “If you compare the stats of the two countries, the consumer class of 300 million in China has an access to 3,000+ KFCs, while the consumer class of 100 million in India has access to only about 140 KFC outlets. Hence, there is a huge potential for us to leverage our expertise in the untapped market. Our aim is to have 1,000 outlets in India by 2015 and China has helped us provide a blueprint for this rapid growth.”

The influence of KFC on the diet of India’s urban schoolchildren? See the schoolbuses driving past the hoarding.

The same gushing interview contained answers from Niren Chaudhary, president of Yum! Restaurants India, who was described as “reporting directly to Yum! Brands, Inc, Chairman & CEO David Novak after the world’s largest restaurant company last week made India only the third country after the US and China with a standalone reporting division”. How fabulously exciting for all the 13-month-old infants wetting their diapers in anticipation of their next KFC portion.

The question was: “Will it translate into faster expansion and more hires?” And Chaudhary’s answer: “Our goal is to double our store base to at least 1,000 stores, employing 50,000 people, in three years. The new structure is a change in reporting relationship and reflects the importance of India as a future growth opportunity.”

Now we know why the KFC advertisements say what they do (and hide much). This CEO Pant is reported to have studied at the Indian Institute of Technology Kanpur, and if so that particular IIT – and the IITs and IIMs of Bharat – have much to answer for.

Floods in Pakistan displace 5.4 million

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A man carries a child through the flood waters in Digri, Sindh province. Southern Pakistan has been struck by severe monsoon floods 12 months after last year's devastating flood emergency that affected most of the country. Photo: IRIN / UNICEF Warrick Page

Torrential monsoon rains have triggered severe flooding in Pakistan, primarily in Sindh Province, Reliefweb has reported. Before the monsoon season began, forecasts predicted 10% below normal rains for Sindh and the southern parts of the country for the 2011 monsoon season. However, by 10 August, heavy rains began affecting districts of southern Sindh and extended to the northern regions of the province and adjoining areas of south Punjab and north-eastern Balochistan. While this spell lasted till mid-August, another more debilitating and sustained rain spell heavily affected areas across the entire Sindh Province from the end of August until 14 September. Concurrent impact in adjoining vast areas of Balochistan has resulted in serious humanitarian consequences including in South Punjab. In Sindh, the central and southern districts have been the worst affected.

These rains caused widespread breaches in the agricultural and saline water canals, particularly in the Left Bank Outfall Drain, which exacerbated flood impact in Badin, Mirpurkhas and Tharparkar districts, among others. Continued rains have seriously impeded delivery of emergency services and flood impacted mitigation works. Outflow of the draining flood water is compromised due to poor infrastructure and lack of maintenance of the drainage routes. Some parts of Karachi and Hyderabad have also experienced urban flooding. Flood waters are likely to stagnate in most of the affected regions for the foreseeable future.

As the monsoon season continues, the impact upon the population is intensifying with 5.4 million people affected to date. In Sindh, in particular, the concentration is most severe and all 23 districts have been affected to some degree. It is expected that the population will continue to be uprooted from their homes to seek refuge in the short term as more areas are affected. While some are housed in Government appointed shelters, more seek higher ground along bunds and roads. In Balochistan, five districts are affected and notified (considered seriously affected by the national authorities).The Government of Pakistan, through the National Disaster Management Authority (NDMA) and utilising the Armed Forces’ logistical capacity, has taken the lead in responding to the disaster with the deployment of rescue and life-saving relief operations.

IRIN News has reported that heavy monsoon rain in southern Pakistan is in many ways hitting children worst of all, according to the UN Office for the Coordination of Humanitarian Affairs, which says five million people are affected. The UN Children’s Fund (UNICEF) says children are among the most vulnerable in the kind of situation that prevails now in Sindh Province: “Up to 2.5 million children have been affected by severe monsoon floods in southern Pakistan – and with many still recovering from the worst floods in the country’s history just a year ago, UNICEF says more help must reach them fast before the situation worsens.”

Media in Pakistan quoted disaster management authorities in Sindh as saying at least 270 people have been killed in the province’s 23 districts. The provincial government, which has called on international agencies to help, says 1.2 million homes have been washed away, while the aid agency Oxfam has reported that more than 4.2 million acres of land (1,699,680 hectares) has been flooded and 1.59 million acres (643,450 hectares) of standing crops destroyed in Sindh. It also warned the “situation could worsen” over the coming days.

“The nature of this disaster in some ways poses challenges that are more complex than those of 2010,” Kristen Elsby, a spokesperson for UNICEF, told IRIN from Islamabad. She said the main factor in this was that displaced populations were scattered, with many based along roadsides. “We did not know where to go when the rains swept in, took away our goats and destroyed the vegetable crop we had cultivated,” said Azrah Bibi from Badin District. She and her extended family of eight are currently camped along a roadside near the town of Badin. “We saw some people here and joined them. Some people delivered one lot of food, but there has been very little since, and it is hard to cook anyway since we have no facilities other than a fire from bits of timber and scrap,” she said.

Once again, people living in Sindh and nearby provinces have been hit by floods and forced to flee the waters. Photo: IRIN / Abdul Majeed Goraya

“Children, in particular, need access to clean water and also sanitation to prevent illness from breaking out.” Like many others affected by this year’s flood, Azrah Bibi and her husband, Gulab Din, 45, were also affected by the floods of 2010, widely rated as the worst in the country’s history, which partially damaged their home and also their rice crop. “This year things seem equally bad to me. The wrath of Allah has hit us twice,” she said.

Another IRIN report has said that Sindh is facing disaster once more with heavy rains over the past five days, according to the Provincial Disaster Management Authority (PDMA). “Two million people in 15 [out of 23] districts have been affected,” PDMA Director of Operations Sajjad Haider told IRIN. He also said crops had been devastated. Eighty-five people are reported to have died and provincial authorities have announced disaster relief measures, including compensation packages for victims. Haider said crops had been devastated.

“My sugarcane crop, which was ready for harvesting, has been lost. I am still recovering from last year’s losses of crops and livestock. Who knows what will happen now,” said Majeed-ud-Din, 40, from his village in Khairpur, one of the worst-hit districts. In the remote Kohistan District of Khyber Pakhtoonkhwa Province (KP) flash floods triggered by heavy rain last week are now confirmed by District Coordination Officer Syed Imtiaz Ali Shah as having killed at least 33 people. Media reports put the death toll at almost double that figure, with dozens of houses including an entire village swept away by torrents pouring down hillsides.

[See the earlier post, 'Pakistan floods six months later']

The UN Rapid Response Plan has said that in Sindh, of the approximately 5.44 million people affected, 49% are women. The number of deaths has increased to 223, of which 60 are women and 37 are children. To date, 665,821 family homes have been damaged or destroyed. Nearly 297,041 people (77,175 women, 139,661 children) are currently living in 2,150 relief sites.

The situation of the people who have been forced to leave their homes is dire, and there is clear evidence of growing humanitarian needs. People have sought refuge on higher ground, along roadsides and on bunds, while others are housed in public shelters. Access to safe drinking water is compromised, although health services are reaching out. Due to damaged infrastructure, however, it is difficult for the population to access existing services and efforts to avoid a major disease outbreak must continue. With an increasing number of people uprooted as a consequence of the situation, ensuring emergency shelter and food for the population is critical.

Across both provinces, Sindh and Balochistan, there has been a significant impact on people’s lives, especially related to the loss of livelihoods, most predominantly those related to agricultural activities. The UN Rapid Response Plan has said that approximately 80% of Sindh’s rural population’s livelihood is dependent upon agricultural activities, such as crops, livestock, fisheries and forestry. According to preliminary information from NDMA, 1.6 million acres of crop area have been destroyed by the floods, and pre-harvest crop losses include rice, vegetables, cotton, and sugarcane. The survival and health of animals in flood-affected areas are at risk due to loss of fodder reserves and animal feeds. These combined effects are likely to severely affect the availability of and access to adequate food for a large proportion of the affected population over the coming months.

The floodwaters have devastated towns and villages, washed away access routes, downed power and communications lines, and inflicted major damage to buildings. Many key roads and major bridges are damaged or destroyed. The prevailing socio-economic conditions along with flood have exacerbated the living conditions of women, men, boys and girls residing in the flood-affected districts. Additionally, female and children are not always able to access basic services or humanitarian aid. Vulnerable people in general are potentially experiencing a higher risk of disease, in addition to the challenges of limited access and mobility.

Food inflation crippled India’s households in 2010

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Vegetables, fruits and cereals market in in the city of Surat, Gujarat state, IndiaThe price of a basket of staple foods has become crippling in rural and urban India. The government’s response is to favour agri-commodity markets, greater retail investment and more technology inputs. For food grower and consumer alike, the need for genuine farm swaraj has never been greater.

The retail prices of staple foods rose steadily through 2010, far exceeding in real terms what the Government of India and the financial system call “headline inflation”, and exceeding also the rate of the rise in food inflation as calculated for the country. These calculations ignore the effective inflation and its increase as experienced by the rural and urban household, and they ignore also the considerable regional variations in India of a typical monthly food basket.

Vegetables, fruits and cereals market in in the city of Surat, Gujarat state, IndiaMoreover, from a household perspective an increase in the prices of food staples is not seen as an annual phenomenon, to be compared with some point 12 months in the past. It is intimately linked to employment (whether informal or seasonal), net income, and the pressures on the food budget from competing demands of medical treatment, education and expenses on fuel and energy.

When real net income remains unchanged for over a year or longer, the household suffers a contraction in the budget available for the food basket, and this contraction – often experienced by rural cultivator families and agricultural labour – is only very inadequately reflected by the national rate of increase in food inflation.

An indicator of the impact on households is provided by the price monitoring cell of the Department Of Consumer Affairs, Ministry Of Consumer Affairs, Food and Public Distribution. This cell records the retail and wholesale prices of essential commodities in 37 cities and towns in India. Data over a 36-month period (2008 January to 2010 December) for the prices of cereals, pulses, sugar, tea, milk and onions reveals the impact of the steady rise in the Indian household’s food basket.

In 33 cities and towns for which there are regular price entries, the price per kilo of the “fair average” quality of rice has risen by an average of 42% over the calendar period 2008 January to 2010 December. In 12 of these urban centres the increase has been over 50% (Vijayawada, Thiruvananthapuram, Hyderabad, Bengaluru, Patna, Cuttack, Bhubaneshwar, Indore, Bhopal, Shimla, Karnal and Hisar).

The average price rise over the same period for a kilo of tur dal, for 32 cities for which there is regular price data, is 46%. In 11 of these urban centres the increase in the price of tur dal has been over 50% (Puducherry, Bengaluru, Patna, Agartala, Nagpur, Mumbai, Indore, Ahmedabad, Shimla, Jammu and New Delhi). Where wheat is concerned, from among the 27 cities and towns for which there are regular price entries over three years, in 10 the per kilo price rise is 30% and more.

Vegetables, fruits and cereals market in in the city of Surat, Gujarat state, IndiaIf in search of a comforting cup of tea over which to rue the effect of the steady price rise, this too will cost a great deal more than it did three years ago. For 25 urban centres with regular price data, the average increase over the same period of 100 grams of loose tea leaf is 38% and in 11 of these cities and towns the increase is between 40% and 100%.

The sugar with which to sweeten that cup of tea has become prohibitively expensive over the January 2008 to December 2010 period. For the 32 cities and towns for which there is regular price data, the average price increase for a kilo of sugar is 102%, the range of increase being between 76% and 125%.

This increase for sugar – relatively homogenous for the price reporting centres – exhibits the countrywide nature of the price rise of the commodity. Nor is there a household economy case for substituting sugar for gur, or jaggery. For the 17 towns and cities reporting data for gur prices over the same 36-month period, the increase in price over the period has been an average 118% with 11 of these centres recording an increase of over 100%.

Vegetables, fruits and cereals market in in the city of Surat, Gujarat state, IndiaAdding a third element of higher cost to the humble cup of tea is the price of milk. For the 25 towns and cities which recorded increases in the per litre price of milk over the 36-month period (one city recorded a drop) the average rise is 37%. In seven cities a litre of milk costs at least 50% more in December 2010 than what it did in January 2008 – Ahmedabad, Bhopal, Indore, Jaipur, Jodhpur, Patna and Hyderabad.

In conspicuous contrast are the rates of increase in price of cooking media – groundnut oil, mustard oil and vanaspati. Over the January 2008 to December 2010 period the 37 urban centres recorded average price increases of 10%, 9% and 10% respectively for groundnut oil, mustard oil and vanaspati.

Finally, the volatile allium cepa, or common red onion. In 29 cities and towns reporting regularly the per kilo prices of onion, the increase in price of the vegetable has been astonishingly steep. The average increase for 29 cities is 197.5% and in 14 the increase has been 200% and above – New Delhi, Shimla, Ahmedabad, Indore, Mumbai, Rajkot, Agartala, Aizawl, Bhubaneshwar, Cuttack, Kolkata, Chennai, Hyderabad and Vijaywada. In pale comparison is the otherwise worrying average increase of 39.5% for a kilo of potatoes – this is the 36-month average increase recorded by 27 urban centres.

Pakistan Indus flood relief: Himal Southasian

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The excellent Himal Southasian magazine is maintaining a packed page full of information about relief, ways to contribute money and services, maps and data, contact emails and phone numbers of people coordinating relief work in Pakistan, names and contact data of agencies doing relief work.

Himal Southasian magazineThe Indus Flood Relief – Fund Collection Drive is being organised by Himal Southasian, South Asia Alliance for Poverty Eradication (SAAPE) and NGO Federation of Nepal. This is a fund opened in Kathmandu for those all over Southasia and elsewhere seeking to support the immediate, ongoing relief efforts in Pakistan. Himal asks you to please use this facility to send money to the victims of flood along the Indus. The recipient organisation is The Institute for Social Movements-Pakistan (ISM PAK) in Hyderabad (Sindh), working with the Orangi Pilot Project (OPP) on emergency response and support. ISM PAK and OPP urgently need funds for rations, medicine, shelters, drinking water, infant diet support, livestock fodder and vaccination, hygiene kits, makeshift toilets and schooling camps.

The Himal page provides detail such as: “”The Sindh government has decided to move displaced people from Jacobabad to Karachi, Hyderabad and Jamshoro. The City District Government Karachi (local government) has identified four locations in Karachi where the displaced families will be brought in: Gaddap, Bin Qasim Town, Keamari, Toll Plaza. Kashmore and Dadu are the worst effected districts. In Kashmore, 50000 people are either on Bunds or in camps. Around 150000 people have been moved to Sukkur, Khairpur, Karachi, Hyderabad and Sibi (Balochistan).”

There are also daily updated lists of what’s needed where – clothing, utensils, toiletries, food, medicines – and who’s doing what – the Provincial Disaster Management Authority (Pakistan government), the Orangi Pilot Project (OPP) and The institute for Social Movements, Pakistan (ISM-Pak).

Asia’s epic urban sagas

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Courtesy UN-Habitat: Waterside shanties in the Philippines.

Courtesy UN-Habitat: Waterside shanties in the Philippines.

National governments and planning authorities in Dhaka, Islamabad and New Delhi are tending more and more to follow a single ideology – economic growth will drive down poverty – and a primary route to that misplaced objective, which is greater urbanisation. These governments are therefore commissioning a welter of studies and reports, from within and without, to show their citizens why more cities and towns are a good thing (jobs and citizen services, they say) and why mobilising a great deal of money to build infrastructure for these settlements is a good thing (more jobs, more ‘development’).

The cleverer authorities are linking South Asia’s rising urban trendline to a variety of socio-economic goods, such as product and monetary innovation, such as cities being the wellsprings of social entrepreneurship, such as greater tax receipts which will help accumulate funds for social sector spending on the poor and marginalised. For companies and banks that deal with the building of big infrastructure, its engineering, its operation and its financing, this is a persistent swell of good news, and this group is doing everything it can to sustain the urbanisation wave.

[You can find my full essay at Energy Bulletin]

The raw numbers are on the side of the powerful urban-centric cabal. Among the world’s cities ranked by average population growth rate per year (in per cent) for 2006-2020, there are 37 South Asian cities (Afghanistan 1, Bangladesh 3, India 25, Pakistan 8) and 8 in China in the top 100. In the next 100, there are 20 cities in China and 11 in India. Asia’s two biggest countries have between them 64 of the top 200 cities that are projected, by the global group of city mayors, to grow the fastest in the next decade. This extraordinary prognosis for the two most populous countries – both of which have become economic powers – has enormous implications for global energy, food and resource flows.

When China and India buy material (as they have been doing, with China’s headstart over the rest of the BRIC/BASIC group placing it in a league of resource acquisition by itself), entire populations of supplier countries will face the consequences. Moreover, much of the material the two countries will commandeer will be directed towards their cities. China’s urban population is already 45% of its total population, while India’s is 30% and set to grow faster than it has at any period until now. There are combined numbers so large in the cities of China and India that the implications of the consumption by this grouping alone have become too profound to internalise for planners and administrators. Amongst the 300 most populous cities in the world, 97 are in China and these 97 are home to 243.98 million people (2010 estimate); 26 are in India and these 26 are home to 90.38 million people (2010 estimate).

In the state of Goa, western India, new residential blocks loom over shrinking fields.

In the state of Goa, western India, new residential blocks loom over shrinking fields. The produce from such fields once fed the capital city of Panaji, which now imports food 130 kilometres from the neighbouring state of Karnataka

What do we know about India’s food consumption patterns? Let’s look at some numbers to illustrate this. India’s most admirable National Sample Survey Organisation has just begun releasing summary data from its 2007-08 survey of household consumption (the earlier such ’round’, as it is called, pertained to the 2004-05 period). In rural India, average monthly per capita cereal consumption was around 10.3 kg for the poorest 10% of the population. (The survey distributes both rural and urban populations by ten ‘deciles’ – bands of 10% – which correspond to level of consumption expenditure.) It was between 11 and 12 kg for each of the next six decile classes, and was above 12 kg for the top three decile groups.

This means that for rural India, there is a strong positive correlation between ability to spend on food and quantum of consumption of cereals – the greater the household income, they more it is able to spend on staple foodgrain. In urban India, per capita cereal consumption increased from under 9.5 kg to about 10 kg per month over the first four decile classes but then showed a tendency to fall slightly rather than to rise in parallel with further increases in total expenditure.

This indicates the fulfilment of staple foodgrain needs and that expenditure on food thereafter is on cereal substitutes, processed food or eating out (what the surveys call ‘purchased cooked meals’), and fruit. Average cereal consumption per person per month was 11.7 kg in rural India and 9.7 in urban India. From this it would appear that the average urban person’s monthly cereal intake was about 2 kg less (a difference of 67 gm per day) than that of the average rural person. But it needs to be factored in that in urban areas the cereal content of processed foods and eating out (‘purchased cooked meals’) gets left out in the estimation of cereal consumption, which is why the difference in cereal consumption between the two may be less than it appears.

The FAO food price index plotted from 2000 to early 2010

The FAO food price index plotted from 2000 to early 2010

India’s urban national average of per capita daily cereal consumption is 9.7 kg. At this average, we are able to gauge the cereal supply needs of cities with populations of over a million. Using population estimates for 2010 (from the City Mayors website database) we find:

Pimpri-Chinchwad (Maharashtra) with a metro population of 1.515 million consumes 483 tons of cereals a day
Nagpur (Maharashtra) with a metro population of 2.42 million consumes 772 tons of cereals a day
Varanasi (Bihar) with a metro population of 3.15 million consumes 1,005 tons of cereals a day
Ludhiana (Punjab) with a metro population of 4.40 million consumes 1,403 tons of cereals a day
Hyderabad (Andhra Pradesh) with a metro population of 6.29 million consumes 2,006 tons of cereals a day
Kolkata (West Bengal) with a metro population of 15.42 million consumes 4,918 tons of cereals a day
Mumbai (Maharashtra) with a metro population of 21.2 million consumes 6,761 tons of cereals a day

These daily consumption demands mean movement, by road and rail, of food produce citywards at prodigious scales. In Navi Mumbai, an urban satellite of Mumbai which is a fair-sized city by itself today, lies the food wholesale depot that marshals and redirects the daily procession of trucks, lorries, light commercial vehicles and pick-ups bringing food for Mumbai’s millions. The number of vehicular movements in this yard are reckoned to be over 2,000 every day which indicates the vast physical reach of the giant city’s food gathering subsystem, one that holds in its thrall a region that could comfortably encompass western Europe.

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