Wednesday, September 14, 2011

Dr. JP demands withdrawal of VAT On food grains

Lok Satta Party President Dr. Jayaprakash Narayan today demanded that the Andhra Pradesh Government immediately roll back the increase in VAT on food grains from four to five percent.

In a media statement, Dr. JP said the increase in VAT at a time agriculture in the State is in deep crisis is inexcusable. The State Government is already collecting up to Rs.1800 crore a year by way of VAT and other charges on rice and paddy alone. Instead of eliminating VAT altogether on all food grains, edible oils and providing some relief to the farmer, the Government has raised it across the board on all commodities. One can understand Government’s compulsions to raise resources. However, in the process it should not impose an additional burden on the farmer, who is already groaning under the weight of umpteen problems ranging from escalating cost of production to unremunerative prices for his produce.

Dr. JP warned that if the Government does not heed wise counsels, farmers will have no alternative to agitating against the unfair regime.

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