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Help farmers, contain inflation, says RSS offshoot to finance ministry
It also suggested tax incentives on an employment-output ratio for industries to boost employment growth.
Concerned by inflation, especially in the prices of essentials and food items, the Swadeshi Jagran Manch (SJM), an offshoot of the Rashtriya Swayamsevak Sangh (RSS), has urged the Union finance ministry to offer subsidies for micro irrigation system for small farmers and find ways to ensure remunerative prices to the growers.
It also suggested tax incentives on an employment-output ratio for industries to boost employment growth.
The RSS is the ideological fount of the Bharatiya Janata Party that leads the ruling National Democratic Alliance.
According to people aware of the details, the suggestions were made during a pre-budget meeting with government officials last month. The SJM has also suggested introducing wealth tax on vacant land to discourage “unnecessary land holding on the pretext of future requirements.”
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This has been done with a view to provide housing for all, said a person aware of the details. “Affordable housing should include hostels for workers and students,” the SJM has suggested.
With inflation having been identified as a major concern, RSS offshoots have been urging the government to take steps to control price rise. In line with that, the SJM has suggested that the government expenditure in building rural infrastructure like warehouses and cold chain “may be increased substantially”.
Pointing out that there is a perception that higher prices given to the farmers causes food inflation, Ashwani Mahajan, the national co-convenor of SJM, said there is evidence to suggest that prices given to the farmers may control inflation by way of curbing profiteering by market players.
“The government needs to find novel ways to ensure remunerative prices to the farmers by using e-markets, modern warehousing facilities with marketable warehousing receipts and modern technology,” he said.
To protect the rights of labour, it has mooted the idea of imposing a “robot tax” on use of labour-displacing technologies, which is claims is not to discourage the use of new technology but to cross subsidise those who face losses owing to labour displacing technologies.
“The funds so raised can be used to help displaced to adopt new technologies,” the SJM told the government. Production linked incentives schemes (PLI Scheme) should be introduced for import substitution from China including organic chemicals, plastic and EV related equipment has also been put forth.
