The Hindu Business Line : Kerala Budget thrust on creation of jobs

CREATION of a Rs 127-crore special package to improve employment opportunities in the industrial and agricultural sectors and the establishment of an `employment guarantee scheme' are two important features of the State Budget presented today.

The objective of the `employment guarantee scheme' is to provide minimum guaranteed employment to all households in Kerala's backward areas, said the Finance Minister, Mr K. Sankaranarayanan, in his Budget speech. The backward areas will be notified in the `employment guarantee' legislation the Government intends to introduce, he added.

Similarly, the Government also plans to create some 50,000 new jobs through self-help groups under the aegis of the `Kudumbashree' initiative. An amount of Rs 50 crore will be earmarked for the project. The Government will also seek to create another 50,000 or so jobs by allowing women's self-help groups to venture into `leased land farming'. An amount of Rs 25 crore has been set aside for this venture, which is expected to boost agricultural growth while reducing unemployment.

In keeping with the decision to set up a Traditional Industries Support Fund, the Government will establish the fund with a corpus of Rs 50 crore. This will be supplemented by the creation of an experts' group to formulate schemes for generating employment opportunities in the traditional industries sector.

On the industrial front, the Government is focusing on leveraging the efforts of the Global Investors Meet held last year. While the Kerala State Industrial Development Corporation has been given Rs 25.7 crore for its programmes, the Kerala Industrial Infrastructure Development Corporation has been given Rs 10 crore to proceed with its projects including the Herbal Park in Wayanad. Similarly, Rs 75 crore has been set aside for the reform of the State public sector enterprises, while approximately Rs 2 crore has been earmarked for a series of measures to develop the small-scale sector. In keeping with the Government's focus on developing industrial clusters, Rs 32 lakh has been allocated for this purpose, while Rs 1 crore has been earmarked for development of agro-based industries.

Besides the creation of a fund to support traditional industries, the Government has also allocated funds for the revival of specific traditional industries. While Rs 2.9 crore has been set apart of the revival of Kerala's coir industry, Rs 2 crore has been allocated to the handicrafts sector and Rs 9.7 crore for the handloom sector. The Government will also provide Rs 5 crore for a special package — developed in association with the NCDC and Nabard — to revive the coir industry.

With information technology and allied areas increasingly becoming an important activity in Kerala, the Government has earmarked a total of Rs 93.75 crore for the sector. This includes Rs 30 crore for the development of the Infopark-Kochi, Technopark Thiruvananthapuram and the IT Corridor in Thiruvananthapuram. Besides, the Minister has also set aside Rs 15 crore for an e-governance initiative and Rs 5 crore for training staff in the nuances of e-governance.

Kerala's tourism industry has received an allocation of Rs 74.25 crore. The Budget has also earmarked Rs 10 crore for the marketing of Kerala Tourism and Rs 3.5 crore for conserving the State's heritage. In addition to this, Rs 47.39 crore has also been set apart for the development of tourism infrastructure.

For the power sector in Kerala, which is on the reform track, the Minister has allocated Rs 256 crore for proposed transmission projects and Rs 350.35 crore for power distribution initiatives.

The Budget has also unveiled a series of measures in the agriculture sector including Rs 1 crore for organic farming, Rs 4 crore for establishing laboratories and Rs 5 crore for a project to use remote sensing practices in agriculture. While Rs 10.8 crore has been earmarked for development of a rice-based farming system, Rs 9.75 crore has been set aside for the development of coconut farming. Similarly, Rs 81 lakh has been earmarked for promotion of hi-tech agriculture, Rs 5.1 crore for the establishment of Agro Export Zones for spices, medicinal plants and flowers and Rs 16.6 crore for strengthening veterinary services in Kerala.

In fisheries, the allocations include Rs 80 lakh for improving social infrastructure in costal areas, Rs 40 lakh as seed capital for self-employment programmes, Rs 1 crore to promote micro-enterprises among fisherwomen and Rs 3 crore for the National Fishermen Welfare Fund's housing scheme.

The allocations to the transport sector include Rs 200 crore for the Kerala State Transport Project, Rs 1.56 crore and Rs 1.5 crore for the development of cargo berths at Vizhinjam and Thankasserry respectively and Rs 40 lakh for computerisation of Motor Vehicles Department. Smart card-based driving licences and registration certificates for vehicles will be introduced this year, the Minister said.

On the social welfare front, allocations include Rs 50 crore for an initiative to take care of the destitute and vulnerable sections of society, Rs 10 crore for a project to eliminate malnutrition and Rs 1 crore for a scheme targeted at caring for senior citizens.

Given recent concerns on the operation of lotteries in the State, the Government proposes to complete the computerisation of the Lottery Department this year. The department will also set up a Web site and create an enforcement squad to prevent unauthorised lotteries, the Minister said.

In order to improve medical care in the State, Rs 27.5 crore will be allocated to allopathy-based schemes, while funds will also be earmarked for ayurveda and homeopathy- based schemes. The State's medical colleges will also be strengthened, with Rs 30.85 crore being earmarked for the allopathic stream alone.

HIGHLIGHTS

* Rs 127-cr package for agri, industrial sector jobs

* Employment Guarantee Scheme Bill on anvil

* Rs 75 cr for reform of State PSEs

* Over 50,000 new jobs to be created thru SHGs

* Leased land farming for women's SHGs

* Rs 50-crore fund to support traditional industries

* Measures to develop e-governance infrastructure

* Smart card-based driving licences to be introduced