What Farmers and Middle Class Are Saying About Budget 2019

From tax cut for the middle class to relief for small farmers, here’s how people reacted to the big announcements.

(Photo: The Quint)

Video Editor: Varun Sharma

Finance Minister Piyush Goyal presented the interim Budget on Friday, 1 February. This interim Budget is the sixth and final budget presented by the Narendra Modi-led government. The announcements ranged from full tax rebate to individual taxpayers earning annual income up to Rs 5 lakh, and direct income support to vulnerable farmers.

What’s In It for Farmers?

The Pradhan Mantri Kisan Yojana was also announced in the Budget. The scheme will help vulnerable farmers get direct income support of Rs 6,000 per year. The scheme is for farmers with less than two hectares of landholding. While some farmers welcomed this move saying it will help them, many said that this was just another ‘jumla’ and won’t help the farmer community.

Farmers are being given some money as alms. We calculated it and it comes to Rs 3.30/person per day. So, if we consider this Budget as beneficial for farmers, we are highly mistaken there wasn’t anything for farmers in this Budget. They have just employed a technique to buy votes before going out.”

Avik Saha, National Convenor, Jai Kisan Andolan

Income Tax Exemption: Bonanza for Middle Class?

The next big sop announced by the government – a full tax rebate for individual taxpayers earning an annual income of Rs 5 lakh, received a much warmer welcome by the middle class, the business community and so on. People from Nagpur, Delhi, Raipur and other places welcomed this move saying it would be a great relief for the middle class.

However, some also expressed reservations whether this was just an election stunt before the Lok Sabha polls.

Most people, although, welcomed this move. A resident of Nagpur said:

“This is a good decision. Because we were not happy with any previous decisions of the government. This move (of increasing the annual income for tax exemption) to Rs 5 lakh will be a big relief small businessmen. Unemployed youth will also be encouraged to enter small business sector.”

What Farmers Wanted

Avik Saha, National Convenor of Jai Kisan Andolan, outlined what the farmers were hoping for in this Budget and how those expectations haven’t been addressed.

“Rs 500 per month (for farmers) is disrespectful. In other Indian states, such as Telangana, farmers are being given Rs 50,000 for five acres per year. And this government has announced Rs 6,000 and is calling is historic. This a new and disrespectful ‘jumla’.”

Avik Saha, National Convenor, Jai Kisan Andolan

He added, “Farmers’ organisations had presented two laws before the Parliament. One is guaranteed MSP and other is debt relief. The government wouldn’t have to spend a single penny had they discussed and passed these two in Budget session. This country’s farmers would have thanked and blessed this government.”