
Odisha Chief Minister Naveen Patnaik on Tuesday gave a measured response to the Union budget, hailing a few key announcements but also denouncing some of the declarations made by the Centre.
Patnaik criticised the reduction in MGNREGS allocation, stating that the move will adversely affect the poor in a pandemic situation.
“Already, there are serious issues of offtake by the Food Corporation of India, leading to dislocation in paddy procurement. Further, reduction in food subsidy under the National Food Security Act will put farmers in serious trouble. This needs to be reconsidered,” he said.
Patnaik further said that the budget has failed to address the issue of price rise, which has hit the poor and the middle class. “To compound the problem, there is a sharp decline in LPG subsidy. This will affect household economics very badly and women will bear the brunt of LPG price rise,” he added.
“The increasing level of cess and surcharge is shrinking the mandated transfers of share tax due to the states. More than 20 per cent of the Union taxes are proposed to be collected through levy of cess and surcharge, which is against the spirit of co-operative federalism,” the Odisha chief minister said.
He, however, thanked the government for recognising the importance of millets in the Union Budget. Notably, the BJD-led state government has already launched the Odisha Millets Mission.
While he welcomed increased allocation under the Jal Jivan Mission and Pradhan Mantri Awas Yojana, Patnaik said that Odisha’s demands pertaining to rural housing have been neglected. “While the same is considered for other states. I hope the Centre would rectify this injustice being meted out to the poor and the tribal people of Odisha by not sanctioning houses,” he said.
He also expressed his dissatisfaction over no special consideration being given in the budget regarding the frequent natural calamities that batter Odisha.
“Odisha is the only state in the country which is more frequently affected by natural calamities and our repeated demand for special consideration in this regard has not been addressed in the budget,” he said.
Patnaik further said that the reduction in sectoral allocation in critical sectors like agriculture and farmers’ welfare, higher education, rural development and women & child development, could hamper inclusive growth.
Meanwhile, he welcomed the focus on technology and infrastructure led growth in the budget. “The proposed technology-led development in health and education will help the country to a large extent in this pandemic situation,” he said.
“The production-linked Initiative schemes in 14 sectors and extension of Emergency Credit Line Guarantee Scheme would be helpful in mitigating supply-side constraints,” Patnaik added.