ReVenta Migration: Thesizeof the Reverse Exodus and Its Impact on Rural India

During the countrywide lockdown enacted to combat the spread of COVID-19, a significant portion of the urban workforce returned to their rural homes. This large-scale reverse migration, often referred to as reVenta migration, caught the attention of experts and policymakers. Academic and historian Ajay Dandekar provided valuable insights into this phenomenon and its broader implications for rural India.

Lockdown and Reverse Migration

The lockdown, especially Lockdown 3.0, extended beyond initial expectations, leading to financial exhaustion and a lack of work for hundreds of millions of migrant workers. At least 14 crore (140 million) migrant workers have returned to their villages, a figure based on an estimate by Dandekar, a trained historian and professor at Shiv Nadar University.

Despite corporate donations in response to the crisis, the donated funds often evaporated into the air, failing to reach those in dire need. The sheer magnitude of the migration raises questions about the economy's ability to support the returning workforce and the rural infrastructure's capacity to accommodate them.

Structural Economic Changes Required

Ajay Dandekar emphasized the need for a major economic policy shift to address the reverse migration. He highlighted that rural India has been grappling with an agricultural crisis since the 1990s, with land holdings shrinking and most households becoming marginal or small farmers. Urban migration, particularly in the construction and service sectors, was seen as a survival strategy for many, but it has now exposed the vulnerability of rural areas to sustained livelihoods.

The stress on rural infrastructure due to the return of so many people is undeniable. Without a substantial shift in economic policies, the rural areas face the prospect of a major crisis. Dandekar warned of the potential for more people to be trapped by moneylenders, a recurring issue in rural India, as access to formal financial services remains limited. The remittances that migrant workers sent back home may decrease, exacerbating existing financial distress.

Policy Recommendations and Economic Packages

To navigate this crisis, Dandekar suggested that the initial focus should be on allocating resources directly to the people. The key to reviving rural India lies in supporting local economic activities, such as agriculture and small and medium enterprises (MSMEs). A credit-based system would be ineffective without demand, and demand can only come from rural areas once people have money.

Economic packages announced by the finance minister aim to provide relief, but Dandekar posits that these measures must be directed towards helping individuals survive the crisis and rebuilding rural economies. The goal should be to provide returns to farmers and MSMEs, but this is achievable only if there is sufficient demand in rural areas.

Conclusion

The reverse migration triggered by the lockdown has exposed the vulnerabilities in India's rural economy. Understanding the root causes of distress migration and addressing them with structural economic reforms is crucial for long-term stability and growth. As the nation grapples with this unprecedented challenge, the importance of a holistic approach to economic recovery cannot be overstated.

For more information and resources on this topic, visit News18 and follow the work of Ajay Dandekar at Shiv Nadar University.