Karnataka Budget: Big boost to agriculture sector likely

Bengaluru: Giving a boost to the agriculture sector, now reeling under the impact of two consecutive droughts and the crumbling infrastructure in Bengaluru city are two of the prime areas Chief Minister Siddaramaiah is likely to focus on when he presents the 2016-17 state Budget on March 18.

The CM, who also holds the finance portfolio, has been busy giving the final touches to his 10th budget and his third as chief minister. The severe drought in 137 of the total 176 taluks, the 1,100 plus farmer suicides and the failure of crops in the last two years have been a major cause of worry for the Congress government.

The farming community expects the government to bail them out of the current crisis by announcing some special schemes. Already, farm loans have been converted into medium and long term loans and interest has been waived on loans borrowed from co-operative credit institutions.

The morale of farmers is at rock bottom and they are pinning hopes on getting help from the government to continue with agriculture.An officer from the agriculture department told Deccan Chronicle that the CM has some plan in mind which will be made public on Friday.

He is aware of the slow growth in the agriculture sector because of the severe drought in the last two years. One of the things the government is likely to do is a further cut in interest rates or an increase in the crop loan amount to benefit  farmers.

Since the Agriculture Price Commission has already submitted its final report to the government on things to be done to make agriculture profitable, some of the recommendations may find place in the coming budget. "Farmers are going through a difficult phase and the need of the hour is to lend a helping hand through some incentives".

Mr Siddaramaiah may also pump in more resources into infrastructure development in Bengaluru City to improve poor civic amenities. Long pending city related projects may be put on the fast track by releasing sufficient funds to ensure their completion at least by the end of next year.

The ruling Congress needs to ensure improvement in basic amenities in Bengaluru city which has 28 Assembly segments. There had been complaints from Bengalureans about poor infrastructure since the last three years and crores of rupees have to be provided to improve facilities. The government may also announce special funds for Namma Metro for its speedy completion.

Quote aware of pending drinking water schemes in rural areas, the CM may reserve a large chunk of his budget for drinking water, roads and other infrastructure in rural areas.

The pure drinking water units are facing a financial crunch because of which only 1,799 units have been established as against the target of 7,000 for a period of three years.

Industrial areas are also likely to get justice in the budget following complaints of poor facilities. Women entrepreneurs may be given loans to set up startup companies with zero or minimum rate of interest. Already, Medium and Large Scale Industries Minister R.V. Deshpande has dropped hints in this regard.