Since another interesting opening of a thread "Coke accused of putting thousands out of work" was locked, I put my answer here.
This ongoing conflict is not so much about the taste for Coke's products which some Indians may have developed, to the detriment of thousands of poor farmers.
It is rather a very laudable effort to raise public awareness about a looming water crisis - not only in India, BTW, but large parts of the "Third World".
Even the current war in Iraq may be part of that, as LEAH C. WELLS explains "In Iraq, Water and Oil Do Mix"
http://www.counterpunch.com/wells05162003.html"India will be on the list of water-stressed countries by the year 2025 when nearly half the world population will experience water shortage."
http://www.hinduonnet.com/thehindu/2003/05/17/stories/2003051700811300.htm"It's God's Own Land, the Immodest Green of Arundhati Roy. The palm-fringed emerald islets are surrounded with vast expanses of waters. The picture perfect beauty makes Kuttanad the very essence of Kerala's backwater experience. It is a waterlogged stretch of about 110,000 hectares; and 50,000 ha of the region are even 60-220 centimetres below sea level. For the better part of the year, most of the land is submerged in water." ... " The environmental and ecological crisis that Kerala faces is so acute that about two-thirds of the state's population does not have access to safe drinking water. Kerala, one of the wettest regions in India, gets an average rainfall of about 300 millimetres of rain spread over a six- or seven-month period. Despite this heavy rainfall, an acute drinking water shortage is felt even in the lower areas."
http://www.indiatogether.org/environment/articles/kuttanad.htmI found another interesting article on the ongoing conflict in Kerala, "No water? Drink Coke!" here:
http://www.indiatogether.org/environment/water/drinkcoke.htmSome quotes:
"Coca Cola's bottling plant was set up three years ago in the middle of fertile agricultural land. 'Coca Cola's plant is illegal because they haven't even obtained clearance for putting agricultural land to non-agricultural uses,' says M. Swaminathan, a tribal leader from Velloor, one of the tribal villages affected by Coke's activities. Kerala states Land Utilization Act requires prior approval for conducting non-agricultural activities on designated agricultural land."
...
"'The trouble with Coke
cannot be seen in isolation,' says Dr. S. Janakarajan, an economist working on groundwater issues with the Madras Institute of Development Studies. 'In this case, a community may have lost its access to water for drinking or agricultural purposes for the sake of supplying Coca Cola. The same has happened in other places where industries have privatized common groundwater resources or polluted them,' he says. In the absence of any law to regulate the extraction of groundwater, people or companies with resources can privatize entire aquifers just by virtue of owning a small piece of land. 'In this race, those who have the resources are the winners; the poor are the losers,' Janakarajan explains."
...
"The profitability of this business is beyond question. Coke's Indian operations took a beating in the first few years of operation after fizzy drinks failed to perform to company expectations. But after Kinley, Coke's water brand, was launched in mid-2000, the multinationals revenues nosed up. In fact, Coca Cola Indias third quarter 2001 results mention that 'its growth of 11 percent had been led by the successful expansion of Kinley water.'
Unfortunately, despite acute, and sometimes perennial water scarcity in many parts of India, the government is yet to legislate effectively to conserve groundwater resources. Soft drink and bottled water companies pay next to nothing for the water they extract. Given that the primary raw material comes free of cost, wastage in the industry is ridiculously high. At Coca-Cola's bottling unit in Nemam village of Tamilnadu, more than 2.5 million liters of water are extracted. Of this, 1.2 million liters is used for washing bottles, crates, equipment and the floors. Only 692,000--less than 30 percent--is used for actually manufacturing the soft drinks."