Budget ‘04-05: Highlights

• Excise duty exemption on dairy industry

• New farm insurance and irrigation schemes

• Rs 1,000 cr for agricultural research

• ICAR gets Rs 1,753 cr compared to last year’s Rs 1,511 cr

• 100 per cent tax exemption for 10 years to biotech companies

• Dept of Biotechnology gets Rs 323 cr, up by Rs 59 cr, from last budget

DEFENCE

• Allocation up by 23 per cent, to Rs 77,000 cr

• NDA’s proposal for 3-yr non-lapseable revolving fund scrapped

• Capital outlay doubled from Rs 16,906 cr to Rs 33,482 cr

• Rs 4,000 cr-project to increase firepower of infantry and for acquiring French killer class Scorpene submarines and 125 multi-purpose fighters for the Air Force

• DRDO allocation down from Rs 2,699.2 cr to Rs 2343.16 cr

• Pension received by widows, children and nominated heirs of members of the armed forces and para-military forces killed during operations exempt from income tax

BORDER-FENCING

• Non-plan funds for erection of barbed wire fencing and construction of roads along Indo-Bangla border doubled from Rs 201.68 cr to Rs 441.08 cr

• Marginal increase for work on Indo-Pak border from Rs 130.06 cr to Rs 196.75 cr

• Funds for home guards down from Rs 74 cr to Rs 44 cr

• Payments to state governments for administration of Central Acts and regulations which includes surveillance of foreigners slashed from Rs 23.4 cr to Rs 2.01 cr

SCIENCE & TECHNOLOGY

• Science and technology allocation up by about 15 per cent from last year

• Eight new satellites, mission to the moon

• Country’s first large-scale desalination plant near Chennai

• Provision for military research down Rs 2,699 to Rs 2,343 cr

• Space department to spend Rs 490 cr for improved version of GSLV, nearly Rs 450 cr in development and launching of eight new satellites, including one that will produce imageries of one metre resolution

• Rs 13,584 crore for research in science and technology, including Rs 70 cr for mission to moon, proposed to be launched in 2008

• New Institute of Life Sciences in Hyderabad

MINISTERSPEAK

• Science and Technology Minister Kapil Sibal says, ‘‘Yeh Budget Mungeri Lal ke sapne poora karega (this Budget will make Mungeri Lal’s dreams come true).’’

STATES

• 13 per cent hike in outlay, at Rs 1,27,704 cr

• 1.5 per cent cut in interest on Centre’s loans to states

• Non-plan grants and loans of Rs 19,470 cr and Rs 106 cr

• Rs 3,225 cr package for Bihar

• Backward state grant fund with a corpus of Rs 25,000 cr

KASHMIR

• Special assistance for Kashmir, grant of Rs 300 cr

• Tax exemption for new industries extended up to April 1

• Assistance for Baglihar project

NORTH EAST

• All ministries and depts to allocate at least 10 per cent of plan budget for schemes and programmes in the N-E, at Rs 5,823 cr; unspent amount to go to a non-lapseable Central pool

• Rs 650 cr from Central pool for specific projects and schemes in the region

• Rs 500 cr under plan expenditure and Rs 1,150 cr for Department of North Eastern Region (DONER)

SENIOR CITIZENS

• Senior Citizens Savings Scheme at 9 per cent interest pa

• Varishtha Pension Bima Yojana no longer necessary as new savings scheme will cover senior citizens

HARMONYSPEAK

• The Harmony Foundation, headed by Tina Ambani, has welcomed the new saving scheme for senior citizens with 9 per cent interest but expressed disappointed that the Varishtha Pension Bima Yojana could be scrapped. ‘‘It appears that due to lack of availability of time with the present government, sufficient time could not be devoted to tax incentives for senior citizens. We hope this aspect of help to senior citizens will be considered by the FM,’’ a foundation press release said.

FOOD FOR WORK

• New food-for-work programme in 150 most backward districts, allocations under different schemes will be pooled together to support the programme

• Additional funds for crucial programmes such as Sarva Shiksha Abhiyan and midday cooked-meal scheme

• Coverage of Antyodaya Anna Yojana to be extended from 1.5 cr to 2 cr families, scheme to get about Rs 3,500 cr out of total Rs 25,800 cr allocation for food subsidy

• PDS pilot scheme for distributing food stamps instead of food through fair price shops

HEALTH

• Universal health insurance scheme to be exclusive for BPL families

• 10 lakh to be insured, revised premium at Rs 165 for individuals, Rs 248 for a family of five and Rs 330 for a family of seven

• Premium subsidy to go up from Rs 100 to Rs 200 for an individual, Rs 300 for family of five and Rs 400 for family of seven

• Group health insurance scheme through public sector non-life insurance companies, premium at Rs 120 per person, insurance cover of

Rs 10,000

• Rs 259 cr earmarked to fight HIV-AIDS

• Improved surveillance through setting up of more sentinel sites and primary health centres

EXTERNAL AFFAIRS

• Jump of Rs 231 cr in allocation, at Rs 3,640 cr

• Embassies and missions get Rs 855 cr, up by Rs 82 crore

• Passport and emigration hiked by Rs 26.11 cr

• Diplomatic expenditure up from Rs 824.52 cr to Rs 841.01 cr

• Aid to Bangladesh down to Rs 4.92 cr from Rs 22 cr last year, Bhutan from Rs 1,000 cr to Rs 79.8 cr; Nepal from Rs 60.01 cr to Rs 59.21 cr

MINISTERS

• Cut in provisions for salaries and tour expenses of ministers

• Tour expense provisions at Rs 46 crore, down from last year’s Rs 88 cr

• Salaries of Cabinet minister, minister of states and deputy ministers been reduced to Rs 1.51 crore from previous year’s Rs 2.91 crore.

• Sumptuary and other allowances reduced from Rs 2.73 crore to Rs 2.55 crore

OTHERS

Cheaper
• Computers, cellphones, tractors, gas stoves, pens and ballpoint pens, non-alcoholic beverages including chocolate and malted food drinks, branded and packaged preparations of meat, fish and poultry

Dearer
• Jewellery, steel, contact lens, playing cards, candles, prefabricated buildings, laboratory glassware, plastic insulated ware, clocks and watches, cakes and pastries, scented supari