Skip to main content

Coca-Cola stops production at Jaipur plant following NGO campaign against "indiscriminate" groundwater mining

By Our Representative
Coca-Cola, one of the world’s premier soft drinks corporations, has stopped production at its bottling plant in Kala Dera in Jaipur, Rajasthan, with no plans to resume operations. Quoting a document in Hindi, India Resource Centre (IRC), a Global Resistance project, which campaigned against the plant, says that the plant was “disputed” as it was "indiscriminately mining groundwater."
IRC, in alliance with a local NGO, Kala Dera Sangharsh Samiti, has been campaigning against the company’s plant since 2003, accusing it of “exacerbating water shortages in the area.” In 1998, the area’s groundwater was declared as overexploited – the worst category of groundwater in India, yet Coca-Cola built a new bottling plant in 2000, IRC says an IRC communiqué.
Claims IRC, one of the reasons for the recent decision to stop production at the plant is, it had begun incurring financial losses. “Now it will serve solely as a storage and distribution center, according to a petition filed by the company”, it adds.
Accusing Coca Cola for “irresponsible business practices in Kala Dera”, IRC says, groundwater mining in the water scarce area, aggravating water shortages for the farmers and residents, all of which is “well documented.”
“In 2014, Dr Aneel Karnani of the University of Michigan's Stephen M Ross School of Business found Coca-Cola’s corporate social responsibility claims around its bottling plant in Kala Dera in India to be lacking merit”, says IRC. He concluded that the company’s extraction of groundwater in the water stressed area has led to the “tragedy of the commons”, it adds.
In 2008, Coca-Cola paid for an assessment of some of its bottling plants in India, including Kala Dera. The Energy and Resources Institute (TERI), which conducted the study, recommended that Coca-Cola shut down its Kala Dera plant.
IRC quotes TERI as saying, “The plant's operations in this area would continue to be one of the contributors to a worsening water situation and a source of stress to the communities around.” However, it adds, “Coca-Cola ignored the recommendation.”
“We have campaigned for shutting the plant and we welcome the closure”, said Mahesh Yogi of the Kala Dera Sangharsh Samiti, a local group that has led the campaign. “However, Coca-Cola must also be held accountable for the damages it has caused to the farmers, to the watershed and to the community”.
“We have always known that Coca-Cola’s plant in Kala Dera would shut down one day because it would run out of water, as it has now. We would have preferred that Coca-Cola should have acted responsibly and never operated in a highly water stressed area”, added Amit Srivastava of IRC.
Srivastava demands, “Coca-Cola and its investors must take responsibility for the depleted watershed and the financial loss to farmers because of the company’s complete lack of respect for the communities’ right to water which has led to the tragedy of the commons.”
He adds, “Allowing Coca-Cola to just walk away after completely devastating the groundwater resources is not ethical, sets a bad precedent and the company must be held to account.”
Meanwhile, IRC says, Coca-Cola continues to face crisis in India due to its “mismanagement" of water resources, including the forced closure of their bottling plant by government authorities in Kerala in 2005, and closure of its 15-year-old plant in Varanasi."

Comments

TRENDING

Clive Lloyd legacy reminds us of the golden era that reshaped cricket

By Harsh Thakor*  As August 31 marked the 80th birthday of cricketing icon Clive Lloyd, it also heralds the impending 50th anniversary of his ascension to the captaincy of the West Indies team. Under his leadership, a collection of extraordinary talents coalesced to create one of the most formidable teams in cricket history. The roots of West Indian cricket dominance trace back to a colonial past. 

A Hindu alternative to Valentine's Day? 'Shiv-Parvati was first love marriage in Universe'

By Rajiv Shah*   The other day, I was searching on Google a quote on Maha Shivratri which I wanted to send to someone, a confirmed Shiv Bhakt, quite close to me -- with an underlying message to act positively instead of being negative. On top of the search, I chanced upon an article in, imagine!, a Nashik Corporation site which offered me something very unusual. 

Impact of water anxiety, stress and trauma on women: World Water Week 2024 talkshow

By Mansee Bal Bhargava, Durga Das, Garbhit Naik, Sromona Burman* A newly formed no bet-for-profit organization,  WODER , dedicated and motivated to work towards water security for all for all the time, was at the World Water Week (WWW) 2024 organized by the Stockholm International Water Institute (SIWI)  from August 25 to 29th. The WWW2024 theme was, ‘Bridging Borders: Water for a Peaceful and Sustainable Future’ and centered around water cooperation for peace and security. The event underscored the collaborative effort needed to achieve a peaceful and sustainable future. 

Trailblazer in literary innovation, critic of Indian mythology, including Ramayana

By Harsh Thakor*  Ranganayakamma, commonly known as RN, stands out as a transformative figure in promoting Marxist thought, democratic ideals, and anti-caste principles through her remarkably clear and engaging writing style. A trailblazer in literary innovation, her works span a broad array of topics, from critiques of Indian mythology and revivalism to discussions on civil liberties, the Indian Communist Movement, and Maoism in China. 

Swami Vivekananda's views on caste and sexuality were 'painfully' regressive

By Bhaskar Sur* Swami Vivekananda now belongs more to the modern Hindu mythology than reality. It makes a daunting job to discover the real human being who knew unemployment, humiliation of losing a teaching job for 'incompetence', longed in vain for the bliss of a happy conjugal life only to suffer the consequent frustration.

Unwavering source of ideological inspiration in politics, life: Personal tribute to Yechury

By Bhabani Shankar Nayak  Sitaram Yechury was everyone's comrade. He lived his life in public like an open book of praxis. Everyone was familiar with his family background, student life, many talents, achievements, and political journey that defines his everyday life as a committed communist.  

'Void in Leftist landscape': Loss of Sitaram Yechury who had helped form INDIA bloc

By Vikas Meshram*  The passing of Sitaram Yechury has cast a profound stillness over leftist organizations across India. Renowned as a distinguished politician, columnist, economist, and social activist, Yechury was a staunch advocate for student rights and movements. His leadership skills became apparent early in his academic career, as he was elected three times as the president of Jawaharlal Nehru University (JNU). Yechury also endured imprisonment during the Emergency period, underscoring his commitment to political activism. 

Will Bangladesh go Egypt way, where military ruler is in power for a decade?

By Vijay Prashad*  The day after former Bangladeshi Prime Minister Sheikh Hasina left Dhaka, I was on the phone with a friend who had spent some time on the streets that day. He told me about the atmosphere in Dhaka, how people with little previous political experience had joined in the large protests alongside the students—who seemed to be leading the agitation. I asked him about the political infrastructure of the students and about their political orientation. He said that the protests seemed well-organized and that the students had escalated their demands from an end to certain quotas for government jobs to an end to the government of Sheikh Hasina. Even hours before she left the country, it did not seem that this would be the outcome.

Narmada valley again facing flood disaster, exacerbated by Sardar Sarovar dam 'mismanagement'

By Our Representative  The environmental advocacy group South Asia Network on Dams, Rivers and People (SANDRP) has issued a warning , supported by detailed diagrams, that the Sardar Sarovar Dam (SSD) is at risk of causing flash floods in the Narmada Valley this year, similar to incidents that occurred last year.