THE ASSAM TRIBUNE ANALYSIS

DATE – 13 FEBRUARY 2021

For Preliminary and Mains examination

As per new Pattern of APSC

(Also useful for UPSC and other State level government examinations)

Answer of MCQs of 12-02-2021

1. D. Global Economic Prospects : WTO

2. C. World Economic Forum

3. A. A viral disease which affects brain.

4. D. All the above.

5. B. Hirakud Dam

MCQS OF 13-02-2021

Q1. The Central Institute of Buddhist Studies is located in which city

a. Shimla

b. Srinagar

c. Dharamsala

d. Leh

Q2. Which one of the following is an air-to-air missile?

a. Astra

b. Akash

c. Becquerel

d. Prithvi

Q3. Area wise, which one of the following is the largest Lok Sabha constituency?

a. Kutch

b. Kangra

C. Patna Sahib

d. Ladakh

Q4. The State which has the largest number of seats reserved for Scheduled Tribes in the Lok Sabha is

a. Bihar

b. Gujarat

c. Uttar Pradesh

d. Madhya Pradesh

Q5. The first Lok Adalat was held in the year

a. 1985

b. 1986

c. 1987

d. 1988

CONTENTS

1. UN: Burkina Faso on brink of protracted humanitarian crisis ( GS 2 – International organisation)

2. PM to hand over Arjun tank to Army ( GS 2 – Defence )

3. India has not conceded any territory to China : Govt ( GS 2 – International organization/ Security )

4. Foundation stone of biogas plant under GOBAR-Dhan scheme laid ( GS 5 – Energy )

5. Rehabilitation process of militants remains incomplete ( GS 5 – Security )

6. UNICEF official takes stock of health issues in Nalbari schools ( GS 5 – International Organisation )

7. Bajali dist must spearhead Atma Nirbhar movement: CM ( GS 5 – Polity and Governance )

8. State’s growth rate higher than national average: Himanta ( GS 5 – Economy )

9. 720 rural households electrified using ‘Solar Domestic System’ ( GS 5 – Scheme )

10. Govt presents Rs 60,784.03-cr vote on account ( GS 5 – Budgeting )

EDITORIALS

1. Union Budget: A balanced job amid tough times ( GS 3 – Government Budgeting )

2. Corporates and farmers ( GS 3 – Agriculture )

3. Veterinary sector ( GS 3 – Agriculture )

UN: Burkina Faso on brink of protracted humanitarian crisis

Burkina Faso is on the brink of becoming a protracted crisis after extremist violence displaced over 1-

million people, a senior United Nations official said this week during a visit to the West African nation.

UN acting assistant secretary-general for Humanitarian Affairs Ramesh Rajasingham spoke to The

Associated Press after visiting the hard-hit Center North and Sahel regions in the country that have been

engulfed in extremist violence for more than five years.

“You’ll see Yemen on the headlines, you’ll see Syria on the headlines, Libya, Mali perhaps, but Burkina

Faso, we’ve had such a spike in displacement,” Rajasingham said.

“If we don’t raise the profile, you’re going to see a loss of life, increased morbidity and a deteriorating

situation that will then further compound the Sahel situation. It’s the tip of the iceberg.”

Burkina Faso is the latest country under threat from extremist attack in the Sahel, a belt of semi-arid land

south of the Sahara desert.

The country has become the world’s fastest growing displacement crisis in the last two years, with more

than one in every 20 inhabitants forced to flee the violence, according to the UN. The violence killed

more than 2,000 people last year. Some 3.5 million now need assistance and hundreds of thousands are

hungry.

The longer the crisis drags on, the harder it will be for people to rebuild their lives, Rajasingham warned.

During a visit this week to a displacement site in Kaya in the Center North, where the majority of people

have sought refuge, people said they had nowhere to live, nothing to eat and few ways to make money.

After watching her husband and 17-year-old son dragged from their home and shot dead by extremists

last year, Mariam Pelhoute fled to Kaya with her nine other children. But she said she hasn’t received any

food assistance and is forced to beg from friends and family. “We feel neglected,” she said.

Humanitarians say the government has been slow to acknowledge the crisis or admit that displaced

people are in the capital, Ouagadougou. Civilians say they don’t know where or how to register for food. –

AP

PM to hand over Arjun tank to Army Prime Minister Narendra Modi will hand over the Arjun Main Battle Tank (MK-1A) to the Army in Chennai

on Sunday and also inaugurate and lay the foundation stones of several projects in Tamil Nadu and Kerala.

A PMO statement on Friday said these projects, including the launch of a Chennai Metro project and a

petrochemical complex in Kerala, will add crucial momentum to the growth trajectory of these states and

help hasten the pace for them to realise their full development potential.

In Chennai, Modi will hand over to the Army the state-of-the-art the Arjun tank, which has been

indigenously designed and developed, and manufactured by the Combat Vehicles Research and

Development Establishment, DRDO along with 15 academic institutions, eight labs and several MSMEs, it

noted.

Assembly polls in Tamil Nadu and Kerala are expected to be held in April-May. During his visit, the

Prime Minister will inaugurate the Chennai Metro Rail Phase-I extension, completed at a cost of Rs 3,770

crore, and commission passenger services from Washermenpet to Wimco Nagar.

This 9.05 km long extension will link North Chennai with the Airport and Central Railway Station.The PMO

said he will also inaugurate the fourth railway line between Chennai Beach and Attipattu stations.

This 22.1 km section, laid at a cost of Rs 293.40 crore, traverses through Chennai and Thiruvallur districts

and will ease up traffic from Chennai Port. This section connects the Chennai Port and Ennore Port, and

passes through major yards, providing operational flexibility for the movement of trains, the PMO said.

Modi will inaugurate the electrification of a single-line section of 228 km, completed at a cost of Rs 423

crore. This will enable free flow of traffic without the need for a change of traction between Chennai

Egmore and Kanyakumari and would result in saving of Rs 14.61 lakh per day on fuel cost, it added. –PTI

India has not conceded any territory to China : Govt

India has not “conceded” any territory to China by firming up an agreement on the disengagement

process in Pangong Tso in eastern Ladakh, and other outstanding “problems” including in Depsang, Hot

Springs ad Gogra will be taken up at the upcoming talks between military commanders of the two

countries, the Defence Ministry said on Friday.

The statement by the ministry came hours after Congress leader Rahul Gandhi alleged that the

government has “ceded” Indian territory to China and raised questions over the agreement on the

disengagement process.

The ministry also dubbed as “categorically false” the assertion that Indian territory is up to Finger 4 in the

Pangong Tso area, adding the permanent posts of both sides in the area are “longstanding and well-

established”.

“India has not conceded any territory as a result of this agreement. On the contrary, it has enforced

observance and respect for LAC and prevented any unilateral change in the status quo,” the ministry said

in the strongly-worded statement.

In a statement in Parliament on Thursday, Defence Minister Rajnath Singh said China will pull back its

troops to east of Finger 8 areas in the northern bank of Pangong lake while the Indian personnel will be

based at their permanent base at Dhan Singh Thapa Post near Finger 3 in the region.

“The Defence Minister’s statement also made clear that there are outstanding problems to be addressed,

including at Hot Springs, Gogra and Depsang. The outstanding issues are to be taken up within 48 hrs of

the completion of the Pangong Tso disengagement,” it said.

Earlier, Congress leader Rahul Gandhi on Friday alleged that the government has conceded land to China.

Rahul Gandhi said the situation about the Depsang Plains, Gogra-Hot Springs is not clear.

He said the status quo ante prior to April 2020 should be restored and the Prime Minister should answer

the country.

“It is the responsibility of the Prime Minister to protect the territory of this country. How he does it, is his

problem, not mine,” said Rahul. – PTI

Foundation stone of biogas plant under GOBAR-Dhan scheme laid The foundation stone of a community biogas plant under GOBAR-Dhan Scheme under Swachh Bharat

Mission-Gramin (SBM-G) Phase II, was laid by PHED Minister Rihon Daimary in the presence of Tamulpur

MLA Emmanuel Mushahary and Dispur MLA Atul Bora today at Moupur village under Nartap Goan

Panchayat in Dimoria Development Block under Kamrup Metro district.

The Chief Engineer (PHE), Sanitation, Additional Chief Engineer, PHE, Lower Assam Zone, Superintending

Engineer, PHE, Chairperson Zilla Parishad Kamrup Metro, HoD, Department of Energy, Tezpur University,

president and secretary of North East Organic and PHE officers along with PRI members were present in

the programme.

The PHED Minister said that the people of Moupur GP will adopt this plant as their own/community

ownership. This is the first time that this scheme has come up in Assam in Moupur GP under SBM-G. This

will help in visual cleanliness of villages under SBM-G”. “Provision of safe drinking water to all households

under JJM will be done by 2024-25”, he added.

GOBAR-Dhan scheme was proposed to ensure cleanliness in villages and sustain the Open Defecation Free

status. It will also help to generate wealth and energy by converting cattle dung and solid agricultural

waste into compost. The production of cooking gas will be utilised at the individual household and

community level. It helps to reduce the environmental pollution and mitigate health hazards due to

smoke generated by burning of firewood.

Assam had initiated its first biogas plant under GOBAR-Dhan Scheme in Kamrup Metro District. The overall

cost of the biogas plant will be borne under (SBM-G) Phase II. Urja Bio System Pvt Ltd will be the technical

agency responsible for installation and commissioning of the biogas plant. The operation and

maintenance of this biogas plant will be taken by a local NGO ‘North East Organic’, Moupur village.

The community biogas plant was installed in Moupur village, Nartap GP, Dimoria block, Kamrup (M) to

benefit the farmers in the community. The biogas plant will be of 25 cubic metre capacity which will be

providing cooking gas to six households and two community centres. The by-product from the biogas

plant will be utilised in organic farming by the farming community.

Rehabilitation process of militants remains incomplete

Expressing disappointment over the process of rehabilitation of former militants, BPF MLA Charan Boro

on Friday said in the Assam Legislative Assembly that a number of NDFB members are yet to come under

the rehabilitation scheme of the government.

“The rehabilitation process still remains incomplete and a number of former militants lag behind in

availing the benefits. On the other hand, some of them are facing legal issues, too. Ranjan Daimari is still

in jail even after signing of the BTR Accord. The State government is aiming to make Assam militancy free,

but to fulfill the goal we have to develop trust among people,” Boro said.

For the interest of a militancy-free Assam, Boro stressed the need for expediting the rehabilitation

process, withdrawal of cases against former militants and release of members of militant organisations,

who come to the peace process, from the jail.

Boro alleged that at present, many innocent people of Bodoland are facing trouble during search

operations conducted by Assam Police to trace out the illegal arms.

The BPF MLA also questioned the State government on granting of Scheduled Caste status to six

communities of Assam.

He also urged it to consider the demands raised by various communities to form autonomous councils for

their development.

“Earlier, the Prime Minister announced Rs 1,000 crore for the development of Bodoland. Against the

assurance, till date Rs 600 crore has been allocated by the State government. I request the government to

release the remaining Rs 400 crore too, otherwise many development works of Bodoland will come to a

halt. Moreover, we also need immediate justice to Lafikul Islam who was killed by unknown assailants,”

Bodo said.

Delivering his last speech as MLA of the present Assam Legislative Assembly, AIUDF MLA Mamun Imdadul

Haque Chawdhury stressed the need for eliminating food habit politics from the State.

“The politics over food habits of people should stop. Rather, we should concentrate more on

strengthening coexistence between majority and minority communities of Assam. For the purpose, we

have to devise a formula of coexistence. Now there is a fear prevailing among common people against a

certain community. We have to stop the development. I think, especially, members of the minority

community should come out with some initiatives to eradicate all such odds,” Chawdhury said.

Another AIUDF MLA Rafiqul Islam pointed out that merging of schools has become a serious issue in the

State as in many schools the number of students has increased beyond the capacity of accommodation.

UNICEF official takes stock of health issues in Nalbari schools

In order to take stock of the health status of primary-level students in Nalbari district after the Covid-19

pandemic, a highly-placed official of the Unicef visited the schools in Nalbari district on Thursday.

The Unicef official, named Khusboo Sayied, consultant for women’s nutrition, along with district-level

officials visited Ulabari Paschim Nakheti Million ME School, Dakshin Ulabari LP School, Kamarkuchi Uttam

Chandra Baruah Senior Basic School, Balikuchi MV School and Million Vidyapith, Dihjari.

The team interacted with the students, teachers and the community people on students’ health status,

food, nutrition and hand-washing. She also tried to identify the biggest challenges around health and

nutrition and discussed the issues with the Deputy Commissioner and district-level health and educational

officials.

The Unicef official also inspected the kitchen garden set up at Ulabari Paschim Nakheti Million ME School

and Dakshin Ulabari LP School within the same campus. She appreciated the headmasters of both the

schools for setting up kitchen gardens in a disciplined manner.

The Unicef official witnessed the cultivation of cabbage, knol kohl, papaya, banana, pumpkin, chillies,

potatoes, tomatoes, pumpkin, etc. Headmasters Madhab Kalita and Mukunda Das felicitated the officials

and raised the issue of health problems with them. Senior assistant teacher Madan Baishya conducted the

felicitation and interactive programme. The other district-level officials, including district midday meal

manager Pravin Kumar Sahu, cluster resource centre coordinator Mantua Deka and Ramen Kalita, were

also felicitated.

Bajali dist must spearhead Atma Nirbhar movement: CM

Chief Minister Sarbananda Sonowal formally inaugurated the newly constituted Bajali administrative

district at a function held at Bajali HS School playground on Wednesday and also laid the foundation stone

of the Bajali milk processing unit proposed to be set up at Pathsala at an estimated cost of Rs 4.68 crore

under the Chief Minister’s Samagra Gramya Unnayan Yojana.

Sonowal congratulated the people of Bajali and urged them to commit towards making Bajali one of the

best districts in the State. He said the government has taken steps to make Assam self-reliant and called

upon the people of Bajali to spearhead this movement with its human resources, as students here excel in

academics and always perform well in every examination.

Saying that the elevation of Bajali to a district would facilitate better opportunities to the residents here,

Sonowal stressed the need to constantly improve oneself to achieve success in this age of competition

and urged the young generation to excel in fields like science, sports, academics, culture, etc, so that the

market of South East Asia can be tapped with skills and knowledge. He highlighted measures taken by the

government in the last four and half years to develop the State and directed the DC and the SP of the

district to ensure friendly administration.

Declaring Pathsala as a ‘Neem Nagari,’ he urged all to plant neem trees in the area as much as possible.

He presented neem saplings to Ananda Khataniar, brand ambassador of the forest and environment

department, newly appointed DC Bhabani Prasad Sarma and others. During the function, he also kick-

started the project aimed at making Bajali a ‘Neem Nagari’. Bikash Sarma, DIPRO Barpeta, anchored the

meeting.

Sonowal also hoped that the milk processing unit, once operational, would be able to contribute towards

the goal of making Assam Atma Nirbhar.

Minister Chandra Mohan Patowary, during his speech, said that the government has been consistently

trying to develop the upper and lower Assam regions with steps like the setting up of a multi-modal

logistic park at Jogighopa, among others.

The meeting was attended by Lower Assam Commissioner SP Gotmara, DIG of western range Debajit

Mukharjee, chairman of Duliajan-Numaligarh Pipeline Ltd Rupam Goswami and others.

State’s growth rate higher than national average: Himanta

The economic scenario of Assam is stable and the government has engaged in prudent and sound fiscal

management, which has resulted in keeping in check the fiscal and revenue deficits during the last five

years, Finance Minister Himanta Biswa Sarma said on Friday.

Presenting the vote on account 2021-22 in the Assam Legislative Assembly, Sarma said the State has seen

a steady rate of growth, which has been higher than the national average.

“Our Gross State Domestic Product (GSDP) rose from Rs 2,02,080.85 crore to Rs 2,48,796.15 crore

between 2016-17 to 2019-20 at constant prices. This annual growth rate stood at 7.71 per cent against

the national annual growth rate of 6.11 per cent,” he said.

“At current prices, the GSDP rose from Rs 2,54,382.36 crore in 2016-17 to Rs 3,51,317.77 crore in 2019-20

at an annual growth rate of 12.7 per cent against an all India growth rate of 10.72 per cent. During the

same period, the per capita income of Assam rose from Rs 66,330 in 2016-17 to Rs 90,692 in 2019-20,”

Sarma said.

He said the State government has tapped into a larger pool of resources from the Centre by the way of

increased funding under Centrally sponsored schemes and externally aided projects grants (EAPs).

“We received Rs 10,444.07 crore on account of Centrally sponsored schemes in 2016-17, which has gone

up to Rs 16,101.54 crore in 2019-20. This has helped us majorly in increasing our pool of expendable

resources. During the same period, our receipts on account of EAP grants have gone up from Rs 516.21

crore in 2016-17 to Rs 1,606.08 crore in 2019-20,” he said.

Sarma said Assam has played a key role as a member of the GST Council and received a favourable

compensation package from the Central GST portion at an annualized growth rate of 14 per cent. “The

major revenue earning departments have consistently yielded positive results, with the State’s own

revenues now making up about 26 per cent of the total revenue receipts. During 2019-20, the State’s own

tax revenue generation stood at Rs 16,529 crore. Our tax revenues have seen a steady increase from Rs

12,079.56 crore in the year 2016-17 to Rs 16,528.69 crore in the year 2019-20, at an 8.16 per cent

compounded annual growth rate.”

Non-tax revenue income has also seen an increase, mainly on account of the receipt of arrears due as

royalties, on various accounts from the Government of India. “Our government has relentlessly pursued

the matter of royalties owed to our State from oil companies, and thus far, we have been able to obtain

about Rs 7,756 crore as oil royalty arrears between the years 2016-17 to 2019-20,” Sarma said.

“Side by side with stringent fiscal management, our government has managed to give an enhanced

budgetary outlay year on year; from Rs 83,017 crore in the year 2016-17, to Rs 99,453 crore in the year

2017-18, Rs 1,08,490 crore in the year 2018-19, Rs 1,19,720 crore in the year 2019-20, and Rs 1,22,341

crore in the year 2020-21. This has meant a 47.37 per cent increase in the budgetary outlay over the five

years of our government,” he said.

He said the government has also ensured higher utilization of funds. “In 2019-20, we were able to achieve

a budget utilization of about 68 per cent, which is a significant improvement over earlier years. This

means that the actual expenditure made has grown almost two-fold, from Rs 41,931.32 crore in the year

2015-16 to Rs 81,088 crore in the year 2019-20. Our capital expenditure has undergone an increase from

Rs 6,001 crore in 2016-17 to Rs 13,501 crore in 2019-20, a doubling of spend in the last five years.”

He added, “The government has focused on the effective utilization of Government e-Market place (GeM)

portal to facilitate and support procurement requirements of various Departments. As of today, the active

number of buyers stands at 131 and the active number of sellers stands at 12,791. With a total

transaction volume of 1,926, the current value of total procurements done through GeM for Assam stands

at Rs 400.64 crore. The World Bank has chosen our State as one of the only five government entities in the

world for their programme in handholding for replication of best practices in public procurement from

South Korea.”

720 rural households electrified using ‘Solar Domestic System’ Numaligarh Refinery Limited (NRL) with The Energy and Resources Institute (TERI) as implementation

partner has electrified about 720 un-electrified households in Golaghat district of Assam using Solar

Domestic Systems (SDS). Three villages were also covered in Jorhat, Majuli and Karbi Anglong districts, an

official release said.

The initiative started in the year 2016 and covered 720 households across 18 villages in three phases.

These villages were dependent on kerosene lamps for lighting purpose. Two types of systems were

designed. One was with four light points and the other was with one fan and two light points.

In addition to fan and light points, one mobile charging point and one portable lantern were also

provided. The SDS is able to operate up to 4-6 hours in a day in its full capacity. Users paid about 10% of

the total cost of the system as an advance amount. NRL using its Corporate Social Responsibility (CSR)

fund paid for the balance amount.

Households received quality illumination. Reduced usage of kerosene for lighting purpose was an obvious

benefit of the SDS. In absence of grid electricity, the households were consuming about 5-6 litres of

kerosene for lighting purpose. From Public Distribution System (PDS) a household is able to receive on 2.5

to 3 litres of kerosene. The rest of the kerosene was procured from open market at high cost. In very

remote villages, the villagers had to travel long distances to procure kerosene from open market. SDS was

a boon, especially in these remote villages. The most overwhelming response was the reduced fear of

elephant and snakes among the users. Elephant attacks and snake bites are common in these villages.

Electrification work in the villages expedited since 2016. The households with SDS but without electricity

were receiving quality illumination during the peak evening hours while the electrified households due to

power cuts during evening hours were using low quality kerosene lamps. Households with SDS showed

better satisfaction levels for receiving quality illumination after sunset hours than those which had legal

electricity connections. The economics on the expenditure on kerosene, SDS and conventional electricity

indicated that expenditure on lighting was lowest among the households with SDS than the un-electrified

households without SDS and the electrified households, the release added.

Govt presents Rs 60,784.03-cr vote on account

Petrol and diesel in Assam will become cheaper by Rs 5 per litre as the State government on Friday

announced removal of the additional cess levied on the two items since last year at the peak of the

COVID-19 pandemic.

The revised rates will come into effect from Friday midnight.

Presenting the vote on account 2021-22 in the Assam Legislative Assembly, Finance Minister Himanta

Biswa Sarma also announced removal of the 25 per cent additional cess on liquor.

“At the peak of COVID-19, we had levied additional cess on petrol, diesel and liquor. Now, the pandemic

has declined to a reasonable extent, the number of patients has reduced and the need for COVID-19

screening centres has also gone down. As such, the expenditure on healthcare sector has substantially

come down. Hence, the State Cabinet has decided to withdraw the additional cess and taxes imposed

during the COVID-19 period,” Sarma said.

Sarma said the government will lose around Rs 1,100 crore annually due to withdrawal of the additional

cess on petrol and diesel, but added that this has been done for the convenience of the masses.

After the withdrawal of the additional cess, petrol prices in Assam will be the second lowest among all

states, after Gujarat, while diesel prices in Assam will be the fourth lowest, after Haryana, Himachal

Pradesh and Uttar Pradesh.

The Finance Minister also placed a vote on account of Rs 60,784.03 crore for a period of six months from

April 1 to September 30. “To fulfill the obligatory and other necessary expenditure commitments, I seek a

vote on account for an aggregate expenditure of Rs 60,784.03 crore for a period of six months from April 1

to September 30, 2021, well before which, the detailed General Budget is expected to be presented,” said

Sarma.

As the Assembly elections are due in April-May, a full-fledged Budget was not presented in this session.

Sarma also spoke about the government’s bid to give shape to the dreams and aspirations of millions of

people, with programmes like Svayem, Orunodoi, Kanaklata Mahila Sabalikaran Yojana, Pragyan Bharati,

Chief Minister’s Samagra Gramya Unnayan Yojana and Antodyaya.

He said the government has reached out to the most marginalized sections of society and ensured they

become an integral part of the growth process and development. He spoke of the development of the tea

community and farmers who have access to the latest technology to support their work in the fields.

He highlighted cancer care and Atal Amrit Abhiyan with which citizens can access world-class healthcare,

the Bodo peace accord and the Sixth Schedule reforms. He added that Assam has not witnessed a single

incident of communal unrest during the term of the present government.

Interestingly, in his speech, the Finance Minister also quoted a song from the book Sahashra

Geetimalika written by his father, poet-lyricist and translator late Kailash Nath Sarma.

Meanwhile, notifications regarding reduction in prices of liquor and fuel (petrol and diesel) were issued

on Friday evening by the departments concerned.

EDITORIALS

Union Budget: A balanced job amid tough times

While dealing with a higher fiscal deficit regime, the Finance Minister has not forgotten to continue the

path of fiscal consolidation. She said that the Government intends to reach a fiscal deficit level below 4.5%

of GDP by 2025-2026 with a fairly steady decline over the period. This can be done by increasing the

buoyancy of tax revenue through improved compliance, and by increased receipts from monetization of

assets.

The article titled ‘Union Budget: A vicious cycle of deficit and debt’ (AT, February 2) has painted a totally

grim picture for the economy. It has basically highlighted the negative aspects of an existing deficit fiscal

regime, while completely ignoring the situational disadvantages posed by the time. It has also stopped

short of recognizing the potential for growth induced by the deficit spending activities.

In November 2020, the National Statistical Office of the Ministry of Statistics and Programme

Implementation had suggested an economic recovery in India during the second quarter. The advance

estimates of national income published on January 7, 2021 projected a contraction of 7.7% for real GDP.

The rate of contraction from the 23.9% in the first quarter to 7.7% in the second quarter indicates a

definite path to recovery.

The subsequent monetary policy statements of the RBI too have projected positive growth in the

economy. In fact, the IMF has estimated India’s GDP growth in 2021-22 to be the highest among the

economies it had picked. Against this backdrop, the budget presented by Finance Minister Nirmala

Sitharaman has been cautiously optimistic about the situation and it has been able to underscore the fact

that in the path of present recovery, the growth is still fragile.

As the budget has been tasked to get the Indian economy back on track amidst the pandemic-ridden

disruptions, it became one of the most closely watched budgets in India. The economic background

necessitates a good amount of fiscal interventions amidst the constraints in the Government’s execution

capacity.

The article has rightly pointed out this constraint imposed by the FRBM Act. However, it’s heartening to

note that the budget has tried to create the necessary fiscal space for an enhanced public expenditure to

keep the momentum going. A significant increase in fiscal incentives for the economy facilitated by an

expansionary budget with ‘higher- than-trend expenditure’ allocations has already been advocated by

rating agencies and experts alike.

The FM has reiterated in her budget speech that “we have spent, we have spent, we have spent”. With an

increased limit on spending and borrowing in the coming year, the fiscal deficit has been estimated to be

around 9.5%. However, this is commensurate with the need of the hour as the economy is to emerge

faster from the pandemic effects.

The interest rate in our country is historically low at present along with a very low burden of servicing of

debt. So the Government can afford to raise the ceiling of heightened spending even while slipping some

percentage points on the deficit frontier.

Nobel Laureate Paul Krugman had long before vouched for government spending as part of a set of rules

in budget making and suggested that it could be hugely beneficial in times of crisis. He also offered

prescriptions in the form of government debt as opposed to the ideas laid down in the article mentioned

in the beginning.

Taking a cue from his rule book, economists generally agree to the fact that public debt is not always a

problem as has been traditionally assumed, especially in a situation like this.

The Finance Minister has highlighted the need to boost up the healthcare sector along with the need to

build a strong human capital base. She announced a total spend of more than Rs 2 lakh crore on

healthcare with Rs 35,000 crore on Covid-19 vaccine development and inoculation. This amounts to a

137% increase from last year’s outlay.

It has also pitched for a strong manufacturing and infrastructure network in the country. The Finance

Minister stressed on double digit growth on a sustained basis for our manufacturers. To achieve this, PLI

schemes for an Atmanirbhar Bharat have been announced for 13 sectors.

Here the Government has committed nearly Rs 1.97 lakh crore in the next five years. The National

Infrastructure Pipeline which was launched with 6835 projects with an investment of Rs 111 lakh crore by

2025 has now been expanded to 7,400 projects.

As the expenditure on infrastructure can have a large multiplier impact, the budget has made substantial

provision in this sector. The Finance Minister stressed the need for long-term debt financing in

infrastructure. For this, a Bill to set up a DFI will be introduced. The Government has provided a sum of Rs

20,000 crore to capitalize this institution and the ambition is to have a lending portfolio of at least Rs 5

lakh crore for this DFI in three years’ time.

To provide adequate credit to our farmers, the Government has enhanced the agricultural credit target to

Rs 16.5 lakh crore in FY22. Similarly, the allocation to the Rural Infrastructure Development Fund

increased from Rs 30,000 crore to Rs 40,000 crore. The Micro Irrigation Fund created under NABARD is

proposed to be doubled. To give a fillip to value addition in agriculture, the scope of ‘Operation Green

Scheme’ has been enlarged to include 22 perishable products.

While dealing with a higher fiscal deficit regime, the Finance Minister has not forgotten to continue the

path of fiscal consolidation. She said that the Government intends to reach a fiscal deficit level below 4.5%

of GDP by 2025-2026 with a fairly steady decline over the period. This can be done by increasing the

buoyancy of tax revenue through improved compliance, and by increased receipts from monetization of

assets.

It was observed that the economies which rebounded fast in the post-global financial crisis were the ones

which had resorted to significant fiscal stimulus measures. Hence the Finance Minister has made

provisions for targeted state interventions in health, infrastructure, education, agriculture and allied

sectors. Since the expenditure incurred on private final consumption activities is low, a fiscal

aggressiveness on the part of the government is the crying need of the hour.

Corporates and farmers

The prolonged farmers’ protest tempted everyone to sneak a quick look into the pros and cons of the new

farm laws. Through whatever details available to read in media, it is quite convincing that these laws are

progressive and conducive for an open economy. Theoretically, these laws seemed to be good. But then

why the farmers are protesting so vehemently?

From the farmers’ arguments, it is clear that they are not convinced with these laws. They are

apprehensive that there will be a big gap between theory and practice; fair play with the corporates is a

far cry from what the new laws intent to make. Their worries cannot be dismissed summarily without

looking into it.

Are the Indian corporates doing fair business? Are they dealing with their customers, employees and

other stakeholders, in a way the people of the country, properly? The message is clear, there is no trust.

The very nature of most of the private sector organizations, small or big, is to make money by any means.

Of course there are exceptions like Tatas and Infosys but, they are in minority. This distrust on corporates

is playing a crucial role in preventing implementation of these laws.

We are a poor country; our position in the world map in per capita GDP is 145th amongst 192 countries as

per 2019 data. An Oxfam report of 2020 suggests that India’s richest 1% owns four times the wealth of

bottom 70% of population. The wealth of country’s top nine billionaires is equivalent to the wealth of the

bottom 50% population of the country. Thus finding the world’s one of the richest men in our country is

no surprise. One can well imagine how this wealth can be acquired in a ranked poor country like ours. Can

we take pride on this?

There is no guarantee that the corporate houses will play a fair role in finalizing prices of produce despite

having these new farm laws. People have experienced this over the decades where, despite having

stringent labour laws most of the companies failed to adhere to it and the workers did not get fair deals.

Examples – implementation of minimum wages, social security provisions, working conditions, etc. All this

happened despite having a robust enforcement mechanism too.

People can’t forget the scams by Satyam, Sahara, Sharada, INX Media, IL&FS to name a few. Nirav Modi,

Vijay Mallya and Mehul Choksi; we know what these names are infamous for. People have not forgotten

the exorbitant rates charged by Reliance for outgoing and incoming calls when mobile telecommunication

services were first launched in India. Integrity of real estate companies was exposed, cases in hand include

DLF and Unitech, if not to talk about small and local ones.

Tough regulations alone will not be enough; attitudinal changes are needed if one wants value for one’s

money. Above all, it is important to realize that the key to sustained growth is ethical business practice.

No business can survive for long if it treats its customers and stakeholders badly. Yet many businesses are

still in the old school of thoughts.

They tend to ignore the changes in quality of customers at their own cost. It is an intensely competitive

globalized business environment and increasingly connected consumers of goods and services. In the

changing scenario these days, consumers can get all information on palm top irrespective of their

education level.

They can see and judge what is good for them and can accept or reject anything on merit. Without

realizing these changes and adapting to it our corporates will not be able to win the heart of the people.

How fair deals will be ensured between corporates and farmers in this environment and with the same

administrative mechanism and political system? Money can buy anything and anybody. So, the farmers’

anxiety has reasons. This environment is not helping the Government’s cause either in convincing farmers.

The Indian corporate sector has to go a long way to win the confidence of the people insofar as doing fair

business is concerned although, its contribution to the economy of the country is significant. It has to do

business by taking care of all stakeholders with long-term perspectives and join hands with the

Government to create an environment where we can have an open economy in real terms for the benefit

of the people and the nation at large.

Moreover, state protected mandis and MSP have been giving the farmers a sense of security of their

returns for years. No one would like to come out of this comfort zone and compete in an open market so

easily. It’s like withdrawing reservation systems in employment and education and asking youths to

compete in the open market.

A political will and systematic approach by correcting the environment must be the key to withdraw all

these protections gradually in a time frame. This approach would give a clear message on the intent of the

Government for easy sailing of the reforms envisaged.

No human being can remain neutral on any matter, he/she will take side without even expressing

anything. This is nature. Leaders are also human and they also take side. But those leaders who can keep

it at minimum and can keep it invisible are real leaders. It remains to be seen how our present leaders can

help corporates to win confidence from the people of the country following this principle. The exhibits so

far indicate the contrary.

Veterinary sector

Notwithstanding the oft-repeated government rhetoric about its thrust on developing the animal

husbandry sector, the ground reality belies any sincere effort towards realizing the immense potential of

the livestock and poultry sector. This sector is among the biggest livelihood providers, with lakhs of

families directly dependent on these activities.

In recent times many educated youths have taken to animal husbandry, which in turn has triggered a

surge in entrepreneurship. The rural economy in particular has been driven to a large extent by the

livestock and poultry sector. The Government’s lack of a clear focus in tapping the huge potential offered

by the sectors is borne out by the fact that not enough veterinarians are there in the field to cater to the

needs of livestock entrepreneurs.

With the sector having been hit hard by the African swine fever and bird flu since early last year, it was all

the more imperative that the State had veterinarians in adequate numbers. This dearth of manpower has

also adversely impacted timely interventions reaching the needy pig and poultry farmers in their times of

distress.

Many of the farmers are not in the organized sector and their lack of access to proper information and

scientific interventions has been a major factor hindering the growth of the sector.

According to a paper published by the State Government itself, the National Commission on Agriculture

way back in 1976 suggested that there should be one veterinarian per 5,000 cattle head by the year 2000.

As per this recommendation, the number of veterinarians required for Assam is 2,529 – which is more

than double of the existing strength of 1,003 veterinarians. This clearly indicates the urgency of additional

requirement of veterinary professionals in service delivery programmes for rationalizing the manpower

and human resources.

With the livestock sector growing at a faster pace in recent times, there is a definite need to upgrade the

cadre strength of veterinarians. The 20th livestock census in Assam witnessed a 71.63% increase in the

poultry population from the year 2012 to 2019. The total poultry population which was 27.2 million in

2012 jumped to 46.7 million in 2019. The cattle and pig populations during the period, too, increased by

5.29% and 28.30% respectively.

The pig population in particular in Assam has been the highest in the country. This calls for a matching

arrangement in terms of dissemination of scientific methods of pig rearing and veterinary care. It is

unfortunate that despite such a big demand for qualified veterinarians, the Government has failed to

recruit the desired numbers.

That a large number of veterinarians in the State are jobless or earning their living by working with private

entities is a poor reflection on the Government’s interventions in facilitating a sustained growth of this

sector with a huge potential.