The budget which was announced recently aims to fulfill the aspiration of developed India. For this, the capital expenditure needs to be increased. The expenditure can be increased for maintaining micro-economic stability throughout the fiscal procedures.
The procedure is formulated under the dynamic leadership of the PM Modi. The center has come up with many schemes for the first time by keeping in mind the country as a whole. The budget focuses on historic values, small and medium factors, along with agriculture and technologies.
For the first time, schemes are announced for the carpenters and the tribal women, goldsmiths, potters and other artisians who work for the country’s creation and work for the cultural heritage. The Pradhan Mantri Vishwakarma Kaushal Samman Yojana recognsies the long-deserved talent and craftsmen of India and those who contribute to the nation.
There is a revolution in the coorperation sector. The cooperation sector is considered as the backbone of the rural economy. To promote the manufacturing of the socities, the budget has announced 15% income tax rates for the co-orperation sector. The manufacturing will begin from March 31st, 2024. As per the sources, the budget allocation has increased up to Rs. 2 lakh per member for cash deposits and loans to agricultural cooperative socities (PACs). This included the primary co-operartive socities and primary cooperative agricultural and rural development banks.
The cooperative socities have been higher in number with Rs.3 crore along with tax deduction on cash withdrawals. Whereas on the other hand, the allocation made to the sugar mills will be considered as an expenditure. Approximately, Rs.10000 crore in relief will be provided to the sugar co-orporatives. The co-orporatives have been playing a critical role in the economy for a significant period of time.
Under the PM’s leadership, a committee was constituted by the corporation ministry to formulate the National Cooperative Policy. This will include the shareholders policy and recommendations. This will help in becoming a vital connect from fiscal system to the masses. Thee budget announced the bye-laws for the PACS which has to be formulated to enable the multipurpose factors which has to be kept in mind to meet the country’s diverse needs and remain financially profitable.
Recently a MoU was released among the co-operations of IT ministry, NABARD, CSC, E-governanace services India Limited. A compensation of Rs.63000 has been coounced for the agricultural co-operatves at a cost of Rs.2,516 crore. After several decades, there is a significant change in the contribution of the co-orperative sector. The contributers play a vital role in sustaining the vitability of agrarian and non-agrarian occupation especially in the rural areas. The return in the interest rates continue to be low.
The co-orperative sector has small scale entreupreneurs who produce raw materials and sell them at a discounted rate and reduce the production cost considerably. They are sold directly to the producers will the platform to sell the products directly to the consumers and removes the intermediaries. The significant aim is to bring the urban divide opportunities for income generation. They act as drivers ti the economy by becoming the mediator of goods and contributing significantly to the export market.
The co-orperative sector has a success stories to narrate different stories. The example of this is milk revolution. Currently, India’s half the population has been covering 70% of the coorperative market through PACS. Currently, there are 33 state level cooperative market, 63000 PACS in the country. 19% of th agricultural finance, 35% of the fertilisrs distribution. 30% of the paddy procurement is carried out single handedly by the co-orperative sector. The GeM portal has registered 40 lakh sellers.
This has been named as the “Sahakar Se Samriddhi” cooperative by keeping in minds the nations’s economic discourse.