The Hindu : Andhra Pradesh / Hyderabad News : Food security proposal in budget flayed

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Thursday, Jul 09, 2009
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Andhra Pradesh

Andhra Pradesh - Hyderabad

Food security proposal in budget flayed

Special Correspondent

HYDERABAD: K. R. Venugopal, former Secretary in the Prime Minister’s Office, has criticised the food security proposal in the recent Union budget. He said the move was aimed to withdraw the ‘Annapurna’ programme of supplying free rice to the aged.

Addressing a round-table conference of Andhra Pradesh Vyavasaya Karmika Sangham on recent controversial decisions of the State and Central governments, Mr. Venugopal recalled that Prime Minister Manmohan Singh the then Finance Minister in P.V. Narasimha Rao’s Cabinet had opposed Rs.3-a-kg rice which was part of the budget proposals since it led to a hike in financial and budget deficits which the World Bank would not approve.

The fiscal deficit then was only five per cent, Mr. Venugopal who was then Secretary to Mr. Rao said. At a deficit level of 12 per cent now, Mr. Singh’s government has proposed Rs. 3-a-kg rice after withdrawing the ‘Annapurna’ scheme. There was no reason to drop the scheme as it benefited a meagre 2.5 crore old people, he added.

Civil Rights leader G. Haragopal warned that there could be unchecked reforms in the coming five years of Congress rule. The move to introduce Foreign Universities Bill was an indication.

Deputy leader of TDP in Assembly M. Narasimhulu said it was insulting that the government issued ration cards in excess of the State’s population.

CPI (M) State secretariat member Y. Venkateswara Rao said Chief Minister Y.S. Rajasekhara Reddy aggressively pursued World Bank conditions though he declared his opposition to them initially.

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