Letter to BS: Not just state tax, talk about other financial transfers also

Financial resources from one state to another are transferred in many ways. Since 1949, poor mineral producing states have subsidised industrialised coastal states through several modes. One, through freight equalisation scheme introduced in 1949. Two, paying minimal royalty on minerals, that too as percentage of controlled price. For the first 30 years, it worked out to 2 per cent of international market price,  against 20 per cent that was international standard. Three, credit deposit ratio which is 32 per cent in Bihar as against 110 per cent in Tamil Nadu. Banks are transferring resources from poorer states to better off