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Journalism of Courage
SEPT 7: The Union Government has doubled the rate of cess from one rupee per one thousand manufactured beedis to Rs 2 in a bid to generate additional funds for the Beedi Workers’ Welfare Fund.
The increase is expected to yield an additional amount of Rs 42 crore annually for the fund, raising the annual accrual to Rs 84 crore. The new rate has come into effect from June 28 this year.
The measure will benefit about 44 lakh beedi workers and their dependents all over the country most of whom are in the unorganised sector and belong to the weaker sections of the society.
The Central Advisory Committee on Beedi Workers’ Welfare Fund had in its meetings in May 1999 and again in May this year approved proposals to enhance the scale of several benefits being provided to beedi workers.
The benefits include increase in the subsidy for housing from Rs 9000 to Rs 20,000 per worker, enhancing financial assistance for treatment of heart and kidney diseases from Rs 10,000 and Rs 15,000 respectively to Rs 1 lakh and raising the rate of scholarship for children of beedi workers from Rs 250-Rs 3000 to Rs 500-Rs 10,000.
The Beedi Workers Welfare Cess Act was amended in 1998 to provide for levy of cess by way of excise duty at the rate of Rs 1 to Rs 5 per one thousand manufactured beedis.
Subsequently, the rate of cess was fixed at Rs 1 per thousand manufactured beedis from October 20, 1998. Earlier, the cess was ten paise from January 1, 1982, 30 paise from March 1, 1987 and 50 paise from October 17,1995.
Some achievements of the fund during 1999-2000 under various heads included: workers covered under group insurance scheme 1,958,599, patients treated in dispensaries/hospitals 3,192,425, grant of scholarship to children 228,300, supply of one set of uniform/text book 67,269 and attendance incentive 87,621.
