Partiality shown by arts graduates around India (4)
I believe the answer is:
bias
'partiality' is the definition.
(I know that bias is a type of partiality)
'arts graduates around india' is the wordplay.
'arts graduates' becomes 'BAs' (people with Bachelor of Arts degrees).
'around' is an insertion indicator.
'india' becomes 'i' (phonetic alphabet: alpha, bravo, charlie etc.).
'bas' going around 'i' is 'BIAS'.
'shown by' acts as a link.
(Other definitions for bias that I've seen before include "Favouritism" , "(Bowls) irregular shape" , "Prejudice, partiality" , "One-sided prejudice" , "A leaning or prejudice" .)