The CM insists that the budget should be similar to the railway budget, but has met with opposition
The CM insists that the budget should be similar to the railway budget, but has met with oppositionWhile Chief Minister (CM) BS Yeddyurappa, who has taken an oath in the name of farmers, wanted to create history by going for a separate budget for agriculture on the lines of the railway budget, constitution disagrees because there is no provision for such a move.
Technical issues: Yeddyurappa also holds the finance portfolio and is
expected to read compiled chapters on agriculture, separated from the
general, prior to presenting it in the assembly on February 24. File picYeddyurappa also holds the finance portfolio and is expected to read compiled chapters on agriculture, separated from the general, prior to presenting it in the assembly on February 24. While he earlier announced that his government would have a separate budget for agriculture, he said yesterday that the modalities would be finalised in a few days.
"I am a farmer's son and have taken an oath in the name of farmers. I want to create a separate budget for the farming sector, which is a first of its kind. By god's grace I hope I will achieve it," said he.
Officials however, have brought constitutional limitations to his notice, and as a result the CM has restricted himself to read out separately an elaborated chapter on agriculture, which would include horticulture, animal husbandry, veterinary, dairy, fishery and other related sectors.
'No provision'"If you want to term it as a separate budget, it must be presented by the Agriculture Minister, like it was done by the Railway Minister in the Parliament. But, there is no provision for this in the constitution. If you want it, you have to go for a constitution amendment and it is not in the hands of the state government," said an official in the finance ministry.
A financial expert said that a budget is prepared for a body of organisation by planning expenditure based on its revenue. "As a sector, it cannot be treated as a body, and it was not possible technically to prepare a separate budget for it," he added.
"It is difficult to figure out the revenue for agriculture as it is an economic sector with a definite contribution to the Gross State Domestic Product (GSDP) and without revenue figures one cannot decide on revenue expenditure ratio," said S Deshapande, director,u00a0 Institute for Socio Economic Changes (ISEC).
"It is a priority sector and separating it from the general budget will help the government to focus on the sector effectively. It is a welcoming step," he added.
Enhanced budgetWhile Yeddyurappa had spent around Rs 2,000 crore on agriculture sector in his last budget with a size of Rs 53,000 crore, he is expected to enhance it this time. In addition, he is expected to reduce the interest rate on farming loans from co-operative banks from three to one per cent.
"There will be many significant schemes for farming sector and reduction of interest rates will be the highlight. We are expecting 10 to 15 per cent of allocation for agriculture this time," said Umesh Katti, agriculture minister.
"It is a farce and a political gimmick. Farmers will not be carried away by such gimmicks," said V S Ugrappa, a Congress leader.
