PANAJI: In an attempt to boost agriculture and attract youth towards the age-old profession of the people of the state the Chief Minister, Mr Digambar Kamat, announced an hefty increase in the outlay for agriculture in the annual financial statement for the year 2010-11 in the state assembly on Thursday.

Mr Kamat has proposed an outlay of Rs 46.22 crore for agriculture as compared to Rs 18.62 crore in the previous financial year, a substantial increase of 148 per cent. The increase in the plan allocation has thus risen from 2 per cent to 4 per cent and would help the state to avail benefit under the Rashtriya Krishi Vikas Yojana, he said.

The Chief Minister announced the proposal for an annual plan size of Rs 2,550 crore for 2010–11 (an increase of 11.38 % over 2009–10). The proposed annual plan size required approval of the Planning Commission, he said expressing confidence that the Planning Commission would approve the plan size of Rs 2,550 crore. 

Mr Kamat expressed hope that the enhanced allocation would yield desired results in managing the supply side externalities and provide a necessary cushion against the price inflation and added that to tide over price inflation and to provide respite to the common man against it he has proposed to continue with the scheme of price rise and made a provision of Rs 4 crore in the budget.

He further said that in view of the low sugarcane yield there was a necessity to enhance yield of sugarcane for which he proposed to provide 90 per cent subsidy on ‘drip irrigation.’ The assistance received from central government under drip irrigation would be merged with the state government subsidy, he added. He also said he intended to continue other schemes for agricultural development without any change.

In an attempt to give a boost to the industrial sector, the Chief Minister said that the interest rebate of 1 per cent on on-going schemes of EDC and interest rebate schemes of 3 per cent for setting units in backward talukas would be continued to encourage entrepreneurs. He has also proposed to raise the interest rebate on CRMY loans for women from existing 3 per cent to 5 per cent to encourage women entrepreneurs to set up their own enterprises.

In order to provide additional avenues for employment, the Chief Minister said that he has a proposal to create a security force from amongst the able-bodied Goan youths. Initially as many as 2,000 Goan youths would be engaged. He also announced that all schemes under the state industrial policy as well as the state biotech policy would continue to be in force and would be popularised further.

Stating that his government had strong commitment to enhance IT literacy at school level, he went on to add that it would strengthen computer laboratories in all high and higher secondary schools in the state. He has proposed an additional provision of Rs 15 crore in the budget, even as he announced that the Scheme of School Computer Laboratories would be taken on priority for implementation and would replace the Cyberage (EDUNET) Scheme from 2010-11.

In an attempt to enhance security to the tourists, the Chief Minister proposed to engage at least 1,000 Goan youth under a public private participation on the lines of the beach safety management system and has made a provision of Rs 5 crore in the budget.

He also proposed to commence ferry/cruise services between Goa-Mumbai, Goa-Karwar etc, and all such viable routes purely on public private partnership basis to provide further impetus to the inflow of tourists and fillip to economic growth. He has also proposed 5 per cent cess on all categories of room rent in order to pool up resources to build quality tourism infrastructure.

Mr Kamat has also proposed to set up an Infrastructure Development Fund to build quality infrastructure with a corpus of Rs 50 crore.
The fund would be exclusively used to study the feasibility of projects proposed by various departments of the government of Goa. Stating that unplanned growth of tourism-related activities and real estate in the coastal areas of the state was very disturbing, he said that he has a proposal to undertake a Critical Area Space Plan for the Sinquerim-Calangute–Baga beach belt on a pilot basis. This was in line with the recommendations made in the Draft Regional Plan 2021 by the Task Force for RP 2021.

Announcing the proposal for creation of a Mineral Development Fund for infrastructure developmental solutions to the mining sector, he said that the first initiative in that regard would be to prepare a blueprint for road infrastructure with the assistance of experts in the field. "The government envisages an investment of over Rs 500 crore, which will be made by the mining industry over a 5-year period and will help resolve the present state of affairs," he said.

Announcing Swarnamahotsawi Area Development Fund, he said that under the scheme a sum of Rs 50 lakh would be allotted to each MLA to take up critical works in their constituencies. He has made a provision of Rs 20 crore during the year. Stating that the state has been losing substantial revenue of approximately Rs 40 to 50 crore every year due to non-payment of land revenue, which has also resulted in fall in the share of agricultural output, the Chief Minister has proposed strict implementation of the Land Revenue Code and collection of the land revenue. He has proposed to waive the arrears up to March 31, 2010, and increased the existing rate by 100 per cent with effect from April 1, 2010.

He also proposed to levy a higher rate of land revenue on all agricultural lands which were not being tilled and kept fallow. The rate would be 200 per cent higher than the present rates under Land Revenue, he added. He also announced enhancement of fee and fines on services under public domain by 100 per cent. He has also proposed revision of water tariff for both domestic and commercial users.

In an attempt to plug the leakage of excise revenue and prevent duplication of liquor, he has proposed usage of ‘Multi-coloured Holograms’ on the bottles of liquor either manufactured or imported and sold in the state.

To prepare the state for transition from VAT to GST scheme proposed by the Centre, the Chief Minister announced to set up a task force committee consisting of professionals, trade and industry representatives to look into the issues of draft legislation, framing of rules, automation and IT infrastructure, composition schemes and general issues regarding smooth implementation and better compliances by the trade and industry.

Mr Kamat stated that by hiking entry fee to casinos from Rs 200 to Rs 2,000 with effect from August 31, 2009, his government was able to restrain, to a large extent, the entry of Goan youths to the casinos. He, however, said that he has received many representations to reduce the entry fee to provide some relief to the industry and that he has now proposed to reduce the entry fee to land-based casinos in hotels only, to Rs 500.

He said that casinos have been brought under the purview of prevention of Money Laundering Act and that the state government has been entrusted with the responsibility of regulating the casinos and putting in place the systems of gaming regulations. He said that a committee would be set up in association with financial intelligence unit, to examine the issue in greater detail and make necessary recommendations. He said that a separate legislation would be brought into force for regulating the casinos in due course.