The state government would allocate Rs 10,654.87 crore in the Agriculture Budget for 2015-16, which is 11.6 per cent higher than Rs 9,542.22 crore earmarked in 2014-15.
Odisha would present an exclusive Budget for the agriculture sector for the third consecutive time in 2015-16. The state government had unveiled a separate Budget for the agriculture and allied services for the first time in 2013-14, making it only the second state after Karnataka to have a Budget dedicated to the farm sector.
In his address to the state legislative assembly, Odisha Governor S C Jamir said, the state is poised to register its highest ever food grain production of 12 million tonne this year. Several schemes launched by the government to enhance the socio-economic status of the farming community like Biju Krushak Yojana and Jalanidhi have started delivering results, he claimed.
The state's overall Budget for 2015-16 may cross Rs 90,000 crore, meaning a growth of 12 per cent over Rs 80,139 crore Budget in 2014-15.
The state's Annual Plan for 2015-16 is pegged at Rs 40,000 crore inclusive of resources of Rs 36,000 crore for the government sector and Rs 4,000 crore for the public sector undertakings (PSUs) in the power utility space. In 2014-15, the Annual Plan was estimated at Rs 40,810 crore including PSU allocation of Rs 2,000 crore as per original Budget Estimates (BE). But the Plan size has been scaled down to Rs 35,000 crore in the revised estimates (RE) for the year since the state government expects Rs 3,723.31 crore shortfall in central assistance and Rs 2,000 crore less mobilisation from the state's own revenue collection target.
In 2015-16, the state's own tax revenue is to take a hit of Rs 1,500 crore due to the commissioning of the 15 million tonne per annum oil refinery of Indian Oil Corporation Ltd (IOCL). The state government had allowed the oil major deferred payment of value added tax (VAT) for a period of 11 years from the date of commissioning of the refinery.
Though the state government has not resorted to open market borrowings since 2006-07, it has projected such borrowing of Rs 7,501.31 crore for the next fiscal.
The borrowing from the National Bank for Agriculture & Rural Development (Nabard) is projected at Rs 2,000 crore for financing projects under Rural Infrastructure Development Fund (RIDF). Resources for externally aided projects have been estimated at Rs 2,275 crore.
