With the rise of petrol and diesel prices there will be rise in bus fare, freight fare by trucks and indirectly prices of all commodities will rise due to rise in transportation cost. It is also true that when petrol or diesel prices go down there is no fall in prices. When ATS fuel prices rise airlines raises airfare but do not reduce the same when ATS cost comes down. Prices can be controlled only by conducting raids on traders, manufacturers and commodity brokers who are artificially raising prices.
There is no shortage of production and it is told by government many times and it is also known that government is proud of GDP growth in the country. Regulation of prices of all goods and services need to be done at all level but in the name of reformation administration is ignoring the same and has given full freedom to businessmen to earn maximum profit. http://in.linkedin.com/in/danendra
Subsidies of all types are looted by fabricating relevant documents. It may be NREGA money or Industrial subsidy or fuel subsidy or fertilizer subsidy or export subsidy or subsidy under various loan schemes sponsored by government of India. There is large scale loot going on in one name or the other. When media traps one scheme they change the name and old wine in new bottle continues. Reign of corruption will never end until we adopt to some hard punitive action... http://in.linkedin.com/in/danendra
Income Tax relief:::::::::::::::::::
There is nothing substantial in budget other than a little bit compensatory relief ( price rise is almost 100% during last one year and when prices rises there is salary erosion at all levels. Even businessmen whose income is less than five lacs faced the pain of price rise)to salaried class people or person having income upto 8 lacs.
Large part of population constituting 80% of Indians who are having less than one lac as annual income will not get any relief but they will be forced to share burden likely to rise due to rise in fuel prices. Government which always talks of common men has left the common men on the mercy of traders and corrupt officers .http://in.linkedin.com/in/danendra
1% interest concession has been allowed to those who avail loan upto Rs.10.00 lacs but service tax has been imposed at 10% on builders who take advance for booking a flat.. former will give a little bit relief but there will be at least ten times of this relief as rise in cost of flat.
Private companies have been allowed to set up local private banks in all towns and villages. Now these banks will exploit rural people as money lenders used to exploit them before nationalization of banks. On the one hand government is talking of consolidation of banks and on the other they do not hesitate in giving more and more licenses for private banks.
Even existing NBFC are beyond the control of the government and every year some NBFC close their offices and found to be absconding when poor and innocent depositors ask for payment as promised by them. Now government is trying to add fuel to fire by giving them permission to establish local banks.
Ganaraj Choumuhani Agartala 799001
27th Feb 2010