Congs hardsell: NREG for all,food guarantee law,easy study loans

The partys manifesto,released by Prime Minister Manmohan Singh and Congress president Sonia Gandhi today,pledged to enact a right-to-food law providing for 25 kg of rice or wheat per month at Rs 3 per kg to every family living below the poverty line (BPL) in rural and urban areas. The party pledged at least 100 days of work at a real wage of Rs 100 a day for everyone as an entitlement under the NREGA. This will require an amendment to the NREGA.

Currently,many members of one household can avail of the scheme but all of them put together are entitled to a total of only 100 days. As per the new manifesto,each one can can avail of 100 days. As per official records,the NREGA has provided employment to 4.08 crore households this year. With individual employment its new feature,the numbers will go up substantially. One estimate puts the new annual expenditure at well above Rs 60,000 crore. Real wage of Rs 100 a day could,however,pose a problem for the agriculture sector across the country as it could raise labour costs beyond the farmers reach to sustain agriculture even in UP and Bihar.

On food security,the Congress has adopted a rights-based approach. Currently,a BPL household gets 35 kg of foodgrains under the PDS: wheat at Rs 4.15 a kg and rice at Rs 5.65 a kg. It also provides 35 kg of foodgrains to the destitute under the Antyodaya Anna Yojana (AAY) wheat at Rs 2 per kg and rice for Rs 3 per kg. In its manifesto,the Congress has reduced the price of both the items to Rs 3 a kg and the amount from 35 kg a family to 25 kg per family. A total of 8.13 crore BPL ration card holders and 2.41 crore AAY card holders will be beneficiaries of the Congresss promised largesse.

The availability of food is not going to be a problem as the government is currently sitting on 36.6 million tonnes (15.3 million tonnes of wheat and 21.3 million tonnes of rice) as on March 1,as against 21.2 million tonnes last year. The stock is further going to go up with the government targeting about 24 million tonnes of wheat procurement starting April.

The ruling party at the Centre has apparently taken a cue from the success of Rs 2 per kg rice schemes in various states like Tamil Nadu,Andhra Pradesh,Orissa and Chhattisgarh. While different political parties sought to make it a poll plank by including this scheme in their manifestos in recent elections,the Congress in poll-bound Orissa recently raised the bar by promising rice for Rs 1 per kg.

The manifestos other key highlights:

•Reservation for minorities in government employment and education on the basis of their social and economic backwardness on the lines of Kerala,Karnataka,and Andhra Pradesh. A Waqf Development Corporation will be established to develop Waqf properties.

•Reservation for economically weaker sections of all communities without prejudice to existing reservation for SCs/STs/OBCs.

•A voluntary national youth corps,which will enable young men and women in the age group of 18-23 to serve up to two years in constructive nation-building activities for which they will be suitably compensated.

•Reservation of a proportion of seats in panchayats and nagarpalikas for men and women below the age of 35 years without detriment to existing reservations for SCs/STs/OBCs/women.

•All students admitted to any recognized course in any recognized college/university would be provided,on a need basis,either a scholarship or an educational loan without collateral repayable over a very long period.

•Education at all stages primary,secondary and university will be free in all respects for boy and girls belonging to SC/ST categories. Coaching fees for all entrance examinations for at least 1 lakh SC/ST students each year will be paid by the Central government. National scholarships for SC/ST students will be further increased.

•Every family living below the poverty line will be covered by the Rashtriya Swasthya Bima Yojana (RSBY) that was introduced by the UPA offering health insurance for poor families.

•Extending interest relief to all farmers who repay bank loans on schedule.

•A moderate goods and service tax (GST) once implemented,all other Central and state-level indirect taxes such as VAT,excise duty,service tax,entertainment tax,luxury tax,will stand abolished.

•Zero tolerance towards terrorism from whatever source it originates. Referring to the shadow cast over Indo-Pak dialogue process by 26/11 Mumbai attack,the manifesto said: It is now entirely up to Pakistan to break the impasse by taking credible action against those responsible for the carnage in Mumbai. If it does so and dismantles the terrorist networks that operate from its soil,a Congress-led government will not be found wanting in its response.