Neutralising The Wrong Doings of Socialist Theories in India

Commercialisation of Coal mining and removal of monopoly of Coal India Limited is indeed a phenomenal step taken by the government, since the nationalisation of the sector in 1973.

This will definitely improve efficiency in the sector by moving away from monopoly to competition.

Further, it will increase domestic production and thus will reduce dependence on imports of coal.

But, this move is phenomenal in one more aspect. The move can be seen as an inversion of the wrong doings by the socialist pattern of economy, that was incepted since Indira's government of 1971.

In 1973, Mohan Kumaramangalam, who once was a member of Communist Party of India, nationalised the Coal sector of India and created monopoly in the same.

Mohan Kumaramangalam joined Indian National Congress in 1967 and was a loyal of Indira Gandhi when Congress split. He was a socialist thinker, and thus was a firm proponent of nationalisation of industries.

In fact, after becoming Minister of Mines in the Indira Government, one of his first acts was the nationalisation of coal industry.





He seemed to be implementing a 'thesis' which he had first argued in 1964: that since the CPI could not win power by itself, as many of its members and sympathisers as possible should join Congress, make common cause with 'progressive'(means Socialists) Congressmen and compel the party leadership to implement socialist policies.

Thus, I see this commercialisation of Coal Mining as a major economic reform and at the same time a major setback to the communist/socialist pattern of Economy.