India, every tourist knows, is a land of paradoxes, of shifting colours and contradictory events, of heat and dust, of great wealth and deep poverty, of historic monuments of unsurpassed grandeur side by side with the planet's worst hovels. Politically, too, it is a mass of incongruities - the ruling Congress party depends for much of its support on the landlord class, business and even the princes. Yet Prime Minister Manmohan Singh is an ardent socialist, constantly troubled by the threat of rising inequality as the economy powers ahead. The greatest of India's political paradoxes is the Marxist government of West Bengal based in Calcutta, once the capital of the Asian British empire and still, with its grand Victorian Buildings and the Maiden - the world's largest city park - a testament to great aspirations. In almost unchallenged power since 1967, the communist government is arguably the nation's pacesetter for market-led reforms. Its growth rate is higher than the nation's. Its agriculture is growing at 4 per cent a year, more than any other state, in part thanks to a massive land reform programme that has dwarfed other half-hearted attempts. Its information technology sector is exploding, increasing by over 70 per cent last year and, in the words of S. Rhadakrishnan, president of the West Bengal Chamber of Commerce, 'out to challenge Bangalore'. Poverty is also falling, which is reflected in improvements in infant mortality. Indeed, if this government has a sin it is capitalistic hubris. The West Bengal government had taken the lead again in pushing the central government's plan for special economic zones; for companies to set up tax-advantaged enclaves similar to those that have been huge successes in China's development. A Tata car factory and a chemicals hub led by Indonesia's Salim Group were set to start land acquisition and construction when peasants whose land was being compulsorily purchased decided, three weeks ago, to resist. Violence erupted between peasants and communist party cadres. The local press called it 'a bloodbath', with several killed. The next day, Chief Minister Buddhadeb Bhattacharjee appealed for peace and ordered a stop to land acquisition while policy was reviewed. In New Delhi, Dr Singh announced that the government was also reviewing its policies and would introduce a 'more progressive, humane' system. 'It must be a win-win process for all,' said Dr Singh. Mr Bhattacharjee blamed bureaucrats for being insensitive to the peasants, while also blaming Maoist groups for infiltrating from the neighbouring state of Jharkhand and inciting trouble. The communists of India are a critical element in ensuring that the minority Congress government survives. Antagonistic to Congress on such issues as land reform and the privatisation of what Mr Bhattacharjee calls 'backbones of the economy' - such as the railways, heavy electrical companies and the national oil company - there is a large area of co-operation. The communists have agreed to privatisation of the banking and insurance sectors, and of loss-making companies. National parliamentary Speaker Somnath Chatterjee, a pillar of the communist party, points to a photo on his wall of Dr Singh laughing with Mr Bhattacharjee. He said: 'They do get on so very well. And see eye to eye on many things. We all think Singh is a man of great integrity and commitment. Also, he has the confidence of the people and can be trusted.' Mr Chatterjee lists key achievements of the alliance as the rural employment programme which guarantees the unemployed 100 days of work each year, legislation protecting the rights of women, more pro-agriculture policies and 'keeping communal forces in check'. But he is disappointed in the government's cosy relationship with the United States, its critical attitude towards Iran and the way the nuclear issue has been handled. But there is no question, both Mr Bhattacharjee and he insist, that this government is going to fall for lack of communist support. The paradox deepens as India races down the road to becoming a great capitalist power. Jonathan Power is a London-based journalist
