Telangana allocates more for agriculture than other States

Signifying the importance of agriculture in Telangana, the State government allocated 10.9 per cent of its total budget towards agriculture and allied activities which is higher than average allocations of 18 other States pegged at 6.4 per cent for the fiscal 2018-19. In 2016-17 and 2017-18, the Telangana State’s spending on agriculture was 5.9 per cent of the total budget.

As per a budget analysis published by New Delhi-based PRS Legislative Research, the budget estimates for agriculture and cooperation department jumped by a whopping 117 per cent in State Budget 2018-19 when compared to revised estimates for 2017-18 submitted in the State Assembly on Thursday. While the budget expenditure incurred by Telangana for agriculture and cooperation was only Rs 5,764 crore in 2016-17 and Rs 5,919 crore in 2017-18, the government allocated Rs 12,845 crore in the latest budget for 2018-19.

PRS Legislative Research, an independent research institute based in New Delhi, compared budget allocations made by 19 major States in the country to different sectors for 2018-19.

According to the budget analysis of Telangana State, departments such as irrigation and command area development, Rural Development and Panchayati Raj, Education, Agriculture and cooperation and Municipal Administration and Urban Development, account for 62 per cent of the total budgeted estimates of Telangana in 2018-19.

Budget allocations increased by 37 per cent for tribal welfare and 35 per cent for municipal administration and urban development when compared to revised budget estimates of 2017-18. The State government allocated Rs 8,063 crore for tribal welfare and Rs 7,251 crore for municipal administration and urban development.

Telangana allocated 14.3 per cent of its total estimates for irrigation which is significantly higher when compared to average budget estimate of 4.9 per cent of 18 other States. However, this is marginally lower than the share of irrigation expenditure in 2017-18, pegged at 15.2 per cent.

Further, about 4.7 per cent of total budget estimates has been allocated to health sector in 2018-19 which is marginally lower than the average estimates of 4.8 per cent by 18 other states. However, the overall spending on health increased from 4.3 per cent in 2016-17 to 4.7 per cent in 2018-19 in the State.

In all, total expenditure for 2018-19 is estimated to be Rs 1,74,454 crore which is 22 per cent increase over the revised estimates of 2017-18. In 2017-18, there was a decrease of Rs 7,140 crore (5 per cent) in the expenditure over the budget estimates. In 2016-17, the expenditure was 3 per cent more than the budgeted expenditure.

The total receipts (excluding borrowings) for 2018-19 are estimated to be Rs 1,41,282 crore, an increase of 23 per cent when compared to the revised estimates of 2017-18. In 2017-18, total receipts (excluding borrowings) fell short of the budgeted estimate by Rs 4,934 crore. Similarly, the revenue surplus for next financial year is targeted at Rs 5,520 crore (0.7 per cent of the State GDP).