SECTION-1- (CHAPTER 2)

BUDGET (GENERAL) 1971-72

Rajya Sabha, 29 March 1971

Mr. Deputy Chairman, I am thankful to the Hon. Members who participated, in the debate and gave their views very frankly and constructively. I can understand their difficulties because this is a vote-on-account., Naturally. It does not give them more scope for going into detail as to what should be done in the, coming year. At the same time, we have indicated certain directions in which we propose to go. Particularly as a result of the mandate that we have received from the people. I think our Government is committed to certain major directions, though the word “socialism” is not exactly mentioned in the speech, mainly there are two things to be done. One is removing the disparity’ in our economy and the other is the question of tackling the question of unemployment. These are really the directions in which we have to go. This is exactly what we mean by the slogan of abolition of poverty. I know that this cannot be done in a year, but if it has to be achieved quickly and in a reasonable time a new approach to the problem will be necessary. We have to review the whole economic situation and the measures we have taken so far and make the necessary reappraisal of our Plan and make a beginning in that direction. This is the basic approach. This is the perspective. And that perspective is indicated in the speech. I do not think there is any dispute on that, as far as I could see. Nobody has tried to dispute this direction.

I was looking forward to some specific, constructive suggestions. Unfortunately I did not get many. I was looking forward to some of the Progressive members to indicate in what direction we should go. But I must say that the speeches consisted mostly of cliches. They have certainly tried to mention certain points. If we go point by point, there are three or four points that have been discussed.

The first is the question of prices, and everybody has naturally tried to enlist the causes of the rise in prices. I do not think there is much difference among Hon. Members as to what are the factors which ultimately lead to the rise in prices. They have said that it is because of increase in the non-plan expenditure, more money supply, and particularly lack of industrial and agricultural production. These are mostly the reasons that are responsible basically for rise in prices in our country.

Sir, my speech deals with this aspect also very frankly. In that speech I have given certain reasons and certain steps that we have taken in this particular field. We have admitted that particularly in the field of agricultural production, the commercial crops which are essential raw materials for our industrial production, are suffering because of lack of productivity. And, really speaking, this is one direction in which we have to make a very bold and consistent effort in the years to come. I am glad that Mr. Raju has expressed a word of appreciation for agricultural scientists. I must say that even in the field of commercial crops they have made a very good beginning, and I can only assure the Hon. House that in the days to come or in the years to come the application of the scientific ideas will not suffer because of lack of finance for this matter. This is one thing I can do. As far as research is concerned, there is certainly a revolution in the wheat production. I cannot say the same yet about rice. Wheat prices have certainly shown a downward trend. And I think the downward trend of wheat prices has had a healthy effect on the wholesale price index and the general prices as well. In the case of oilseeds also we will have to do the same thing, and I hope that in the years to come. We will follow this up very closely. Many of the Hon. Members have made certain useful suggestions in this matter, of which I shall certainly take a note.