In the last few months there have been more than a few instances of sparring between the different state governments and the central government. So, if the Jaipur blasts became a bone of political contention about crucial intelligence reports, West Bengal becomes an election battleground where the allies at the Centre took pot shots at each other over the bungling of land acquisition for industrial purposes. Naturally then, the same tussle plays itself out in the economic arena, too. Notice how Uttar Pradesh Chief Minister Mayawati makes a Rs 80,000-crore package for development of backward regions a key negotiating point with the Centre. Inclusive agenda As the discourse veers from the rate of growth to the inclusivity of it, there is much that is now dependent on the states, as federal reforms head towards its tail-end, whether it be capital market reforms or industrial licensing. For people to participate in the growth process, they need to be healthy, educated, skilled and have incomes above poverty levels, believes Shubhashis Gangopadhyay, Economic Advisor to Finance Minister P. Chidambaram. "In this new scheme of things, the states have a very important role to play.' Reason: the really important parts of implementing this simple agenda, however, are areas over which the central government really has little control. These really big ticket reform items are squarely in the states' jurisdiction. India needs urgent reforms in land, labour and markets