Case Study: “union Carbide's Bhopal Catastrophe “

Read Complete Research Material

CASE STUDY: “UNION CARBIDE'S BHOPAL CATASTROPHE “

Case Study: “Union Carbide's Bhopal Catastrophe “

Case Study: “Union Carbide's Bhopal Catastrophe “

Introduction:

A pesticides factory located in Bhopal, India under the working of Union Carbide faced a major gas leakage of toxic fumes into the atmosphere and land. It is known to be the worst industrial accident leading to death of 20000 people instantly and 120000 people suffering it effects. On the night of 2nd December 1984 this catastrophe marked its day of horrid on the people of Bhopal, India and to this day its effect are noted. (2010, http://realsociology.edublogs.org/2010/08/11/case-study-union-carbide-in-bhopal-the-worst-industrial-accident-in-history/)

India being the third world country in spite of lack in its infra structure to maintain such plant was willing to have it. The primary goal of it was to attract foreign investor to build upon its policy of industrialization. It was also the part of its Green Revolution aiming to increase its crop production. India lacked in major safety factors required for such plant. Multinational Corporation have a competitive advantage by investing in third world country because of cheap labor, right of entry to the markets and lesser operating cost, by-passing environmental risk. Negligence in investment in safety equipment to prevent environmental and human risk followed by lack of communication between the government and company multiply the problem. (Weir, 1987, 45)

Bhopal was chosen because of center position in India, railway system that circled around the country, presence of a large lake which provided consistent source of water and satisfactory supply of electricity and labor to maintain the existence of large scale industry. The company share held by Union Carbide Ltd. was 59.1% while Indian government held 49.1% share. There was lack of communication between Union Carbide head quarter in U.S and Union Carbide India. (Jack, 1993, 1)

Factors to consider

Bhopal site was leased to union carbide by Indian state government of Madhya. The plant was under the control of Indians completely as it was Indian policy for self sustaining them. Indians had an experience of handling methyl isocyanate dating back to1970's. It was primarily being imported then due to government's interest its local manufacturing was allowed.

MIC was an alternative pesticide foe DDT. Environmental damage caused by DDT was greater compared to MIC. US Environmental agency permitted manufacture of MIC instead of DDT. The company background has a key to be acknowledged. Union Carbide ltd was leading chemical industry in USA with an annual turnover of $ 200 million by 1984. India was one of the many countries where Union Carbide ltd had its running business interest. Financially UC ltd was very sound with many profitable business plans under pipe line. Carbide was involved in development of Chemical Industry Institute of Toxicology in 1970.with joint cooperation of other company. (Jack, 1993, 3)

Steps taken by UC ltd upon the accident

Union Carbide international was also producing methyl-iso-cyanate in US West Virginia. This plant was brought to halt. It was a shut down till it was re-examined for any safety requirement that it may ...