8 e » a d 8 c r k f.V 0l.X X V n ~ M 0. s 4 W edncidiy, M arch n , 1959 ^balgiisk io, 1880 (Saka)
LOK SABHA DEBATES
(Seventh Session)
(Vol. X X V H contains Nos. 21—30)
LOK SABHA SECRETARIAT NEW DELHI
62 nP. (xHiAiro) tbub sholdwis (roRnaw) CONTENTS
Co lum n *
Oral Answers to Questions— •Starred Questions Nos. 1097 to 1105, 1107 to 1109 n i2 to 1 1 1 5 ...... Written Answers to Questions— Starred Questions Nos. 1106,1110,1111,1116101125,1127 to 1137 ^ and 1139 to 1 1 4 5 ...... 3516—34 F Unstarred Questions Nos. 1707 to 1 7 7 8 ...... 5534— 76 Death of Dr. M. R. Jayakar...... 5576— 78 Re : Government Servants’ Conduct Rules .... 5578 Papers laid on the T a b l e ...... 5579 Arrest of a M e m b e r ...... 5579 -8 ° Conviction of a M e m b e r ...... 5580 Committee on Private Members’ Bills and Resolutions—Thirty- seventh R e p o r t ...... 5580 Announcement re : Reports of Government Companies . 5581 Statement re : Firing on Assam Border...... 5582-83 General Budget—General D iscu ss io n ...... 5584 —573° Shri Rameshwar T a n t i a ...... 5584—88 Dr. Ram Subhag S i n g h ...... 5588—99 Shri Asok« M e h t a ...... 5599—5612 Shri Jaipal S i n g h ...... 5612—24 Shri Thirumala R a o ...... 5624—32 Shri Jamal K h w a j a ...... 5632—41 Shri Thanu P i l l a i ...... 5641—49 Shri S. L. S a k s c n a ...... 5649-64 Shri Siva R a j ...... 5664-70 Shrimati Ila P alch ou dh u ri...... 5670—76 Shri Subbiah A m b a l a m ...... 5676—82 Shri O z a ...... 5682—89 Dr. K r is h n a s w a m i...... 5689—99 Shri* Kamalnayan B a j a j ...... 5699—5706 Shri M o r a r k a ...... 570^—17 Shri Nagi Reddy...... 57t8—27 Daily D i g e s t ...... 5731—36 * The sign + marked above a name indicates that the question was actually asked on the floor of the House by that Member. LOK SABHA DEBATES
5475 5476 LOK SABHA (b) Hie Indian Standards Institu tion are working 011 the foiiuulatiou Wednesday, March 11, 1959/Phal0unc c>f standards lor pumps. 20, 1888 (Saka) ic) The sizes of pumps being manu factured in the country range from The Lok Sabha met at Eleven of the I " to 24" dia. Deepweil turbine Clock. jtamps of as large a capacity as i lakh gallons per hour and horizon* XlkUR S p e a k e r in the Chair] fal spindle pumps of as large a size As 24”x24” have been manufactured ORAL ANSWERS TO in the-country. QUESTIONS Shri S. C. Samanta: May I know Power-driven Pump Industry the number of units at present work* tag in the manufacture of pumps? •ltaa /S h ri S. C. Samanta: \Shri Sabodh Hansda: Shri Manubhai Shah: About 28 Will the Minister of Commerce Units. aad Industry be pleased to state: Shri S. C. Samanta: May I know (a) whether the targets for power- whether there is any record demand driven pump industry have been for this and, if so, what facilities are revised so that we could export them being provided to the exporters? to the neighbouring countries; Shri Manubhai Shah: Yes, there is (b) if so, whether standardisation fcn increasing demand The House taas been introduced for the industry; toi.l be glad to know that whereas in and 1956 the production was 48,000 pumps, in two years it has gone up to 78,008 (c) what are the sizes of pumps tpumps. There is a great demand from manufactured in the country? the export market also. In th* Jrear 1958, as I have mentioned Shri Mannbhai Shah: There cannot stitution are working on the formul be any assessment of the demand for ation of standards for pumps. One* 1959 from the foreign countries or the the lormulation of standard » evolv local demand. But the exports in ed it will be enforced first on exportr 1958, as I have already indicated, are and then on pumps for local use. of the vaule of 2| lakhs Shn Warior: May I know whether Shri Subodh Hansda: May I know the export is made after assessing the whether any relief is given to the demand within the country7 Be agncultun&ts for the purchase of cause, there are so many complaints pumps’ from the Development Councils that pumps are not available Shri Mannbhai Shah: No Sir Some ef the States do have m the agricul tural sector a taccavi scheme for Shri Mannbhai Shah: That is not giving loans to the agriculturists But perhaps fully correct, because we are neither the Central Government nor increasing the production very ra the manufacturers give any rebate pidly As a matter of fact, the i Second Five Year Plan target for pumps has already been exceeded m ntfiw p i * q*r ^ft the current year itself But the real point is that export promotion has got to be done even, if necessary, by tft arr t o t ^ reducing consumption in the country Therefore, our efforts are, on the one hand to increase indigenous product * f ? ion and, on the other, to promote ex ports as much as possible : src s w * ^ ,« o e % Shri Maanbhal Shah: On the whole, w^ether the rest of the wool is « i this particular item we have got exported to foreign countries and, it very satisfactory response from th* so> what is the total amount of foreign different countries It is true that on e3*change earned? same of the engineering items other than pumps sometimes complaints do Shri Mannbhai Shah: Our export eotne and, therefore, we are insisting °* wool has increased considerably on our exporters to have after-care in recent years Whereas in 1953-54 service in the countries of export 7 million pounds of wool were b*mg exported, the House will be Wool Production £lfed to know that it has continuously ^creased and during the year 1957- + 58 36 48 million pounds of wool were ("Shri Subodh Hansda: Sported *1098. ■? Shri S C Samanta: I Shri R. C Majhi: Shri Subodh Hansda: From the statement I find that steps have been Will the Minister of Commerce sad *®ken since 1936 to step up produc- Industry be pleased to state- of superior wool May I know (a) what is the total quantity of much superior wool is at present wool produced annually m the Produced m our country and whether country, ** is sufficient to meet our demands’ (b) how much of it is consumed m Shri Manubhai Shah: Our efforts the country and in what way, are to raise production of superior (c) what steps Government have wbol and the figure is continuously taken to step up the production of ri*ing in each State So far as grad- superior wool, and lng is concerned, I would not be able (d) whether there was any to say exactly what varieties of machinery for superior wool produc supenor wool out of these are being tion previously’ Produced The Minister of Industry (Shri Shri S C. Samanta: Is it not • Manubhai Shah): (a) 65 million fact that we had to export large pounds QMantities of wool to U S S R last (b) The total consumption m this yfiar and thereby our export to U S.A. country is estimated at 25 million w%nt down and the prices in our pounds per annum in the following country rose high’ What is the Gov- manner ernment going to do in the present y ^ r so that wool is supplied to both Organised mill sector 7 million lbs countries’ Carpet sector 9 million lbs. Cottage sector 9 million lbs. Shri Mannbhai Shah: There is no (c) and (d) With a view to step 111 ter-linking between them as such up production of superior wool, steps ft is true that we had entered into have been taken since 1936 to instal a contract for supply of wool to Research stations in the different ^ S S R But that was not the reason parts of the country There are 10 *°r the corresponding fall in the sheep breeding Research stations and supply of wool toU S A . In the USA. fleece testing laboratories already in t^ere was recession and so there was operation 4 more are proposed to be n(tt so much of demand for wool as set up ln the previous years That was the on.ly reason. Shri Subodh Hansda: From the statement I find that our annual Shri R. C Majhi: May I know production is 65 million pounds out wkether any superior wool is import* of which 25 million pounds are con *4 into our country and, if so, to sumed in our country. May Z know what extent’ Oral Armoer, MASKS U, 1MI Omt A*MMn 9«Ib Shri MaraMial Shah: Ye«, Sir. We is really 25 million pounds M d not w e importing wool tops from Austra tons, out of which 18 million, ar* used lia m d superior w ed from different by the small-scale sector. It h aar countries of the world for the manu endeavour to open Institutes in diffid facture of worsted wool and the ent parts of the country. In Madras Itaftorts come to Rs. 9 crores to Rs. 10 we have opened one institute. Wfc etores p»r year. are thinking of a branch In fiadhd. Various types of other extension cen Shri laipal Singh: Is the hon. tres are being established in order to Minister in a position to give us the promote better weaving and produc break-up to indicate the quantity of tion of wool. camel wool? Shri Mannbhal Shah: That is not aft « o : W*frTT flWt separately listed as such. But if the 30 hon. Member is interested in any particular area, we will try to collect Ir ffrggTH % the figure. The whole trouble is, as the House will appreciate, it is very srr^r ^ f i ^ sm f difficult ta classify and cca.de. agricul W jifr. ^75=«F, ’jfcsr. 5 tural commodity, much less animal- wise again. Shrimat! Da Palchondhurl: Is it ? yrcr trwrc not a fact that wool-making used to be a cottage industry in many parts ^ t t $ fa vrV of India, particularly in Bengal, and now because there is no place to graze the sheep the industry is going % *rr $ ? down? If so, what does the Govern ment propose to do to improve this industry? j y . u>t» iJ >4-*^ Shri Manubhai Shah: Wool is more or less a cottage industry even now As the hon. lady Member is jg yjUwjiUa jjl aware, we are trying to entourage more and more production of wool urJL, - ^4* J'-a. and it is borne out by the continuous ly increasing production It will not as be true to say that the sheep-grazers ind sheep-breeders are suffering any */* serious hardship. As far as agricul wfc~*j^sk (_j»l ))l d tural land for grazing is concerned it Is the concern of the State Govern &*f<3 j i f k£»)V i_ )*»&( ments and so those persons should approach them IXbla. UJl> J J • Shri Joachim Alva: Out of 25 »•* i_r^ ^ J?) * >j»* million pounds of wool used in this country, 18 millions are utilised bv js w* i.'fi eoir and the village sectors. What facilities are the Government g-ving r- ^ Ji ft* u$ & i & to the village sectors in the «ense of better methods and other facilities? «ft w i ( 9TT^f: 5*1 Shri Manubhai Shah: Indian wool 9 * srw x s $ i vrnfhc $ ll principally as the hon. Member fPT firdV ^ fa faSHT tion of the manufacture of carpets and fft fcrr ww i m iW m | jjpyjgets in this country out of raw ft? I ^ W I iflr & W00^T If these carpet manufacturers T O VT r€ql/ire any imported wool of auperior variety, that also we are I TO fT W T I *ftr supplying- «ntorr | f r vtct U n ^ s qr fts : wung wr WfKT 5TO * T# I I Shri Manaen: May I know whe % ^ 3?r «FT ftaT t ther the Government are aware that jjtjI TT OtTf iiW'ii *MI$ *T $ Urge percentage of wool produced in the country, which is exported to foreign countries, comes back in the *|i){ W I *(*1| TT ^ 1 % 4rt form of yarn? Also, the hon. Minis ter said just now that efforts are -dM#r 3»T *f 3TPT ? being made to raise sheep farms in the country. May I know whether it SRHTf 3IT$ : W ajfc tfTOT it a fact that in Kalimgong, effort is made to have a sheep-rearing farm 3TT I I (HR without a single sheep? i) J?T«PC fiRTO Shri Manubhai Shah: There are jrfOT ^RT various aspects which are already covered. It will not be right to say that on the one hand we are exporting ^ ot % f^nr ^ ^ wool and on the other we are import ing the same wool re-spun in other t ^ ^ ^ ^ JTT ^ countries The varieties are dis feijn srmr 1 tinctly different. Wool is not a matter gfirl C. D. Pande: May I know whe- of mere choice that one can produce a considerable portion of super- it anywhere. It is a matter princi 10r wool used to be imported from pally of climate. There are certain countries in the world where the and since the advent of the Q ^ e se Communist Government climate is cold and salubrious, where th»fe, they have banned all export cheep will grow faster and better of wool from Tibet mto India? Is than in India. That is why superior fi. fact that superior quality of varieties have to be imported in the wo£l is in shortage and therefore the form of worsted wool tops. We are industry in Kumayun, Kashmir and exporting raw wool which we produce j^^iachal Pradesh is suffering? in this country. gbrl Maaabhal Shah: That is not Shri Manaen: Is Darjeeling not gQ We are getting something from swted for that purposes? Til/et even now. Whether .the quan Ihri Dasappa: May I know whether tity is adequate or comparatively less a larger portion of the wool that we or pot, it will be a different question. export is not utilised for the manu Dul, I can assure the hon. Member that facture of pile carpets? Why should molt of the Tibetan wool which even we not undertake the manufacture of today is coming into India is surplus tbese caipets which are suited to an^ we have every year again to foreign countries? re-export of the superior wool aft;r meeting local demands Ctrl MmwWiiI Shah: We are mak ing druggets, durries and pile carpets 8. M. Baaerjee: Mty I know In this country. The Development w^ether it ia a fact that the product Council gives attention to the promo ion of wool in Kanpur woolen «M « 5485 Oral Answers MARCH 11, 1989 Oral Anmoert which is known as Lalimli has con 4 Sheets and Plata* siderably gone down due to mis 5 Iron and Steel trunks management and if so, what bteps. are taken by the Government and 6 Musical instruments whether the Government is taking 7 Surgical instruments over that mill? & Electric fans and other electneal 8hri Manubhai Shah: Thu question goods does not arise out of the question 9 Photographic equipment Mr. Speaker: Next question 10 Tobacco Some Hon. Members rose— 11 Food products and biscuits 12 Machinery and Engmeenng Shri Hem Barua: Assam’ Stores Mr. Speaker: There are many 13 Textile Manufactures other things produced in Shillong I 14 Combustion Engines will come to them 15 Iron & Steel manufactures Shri Harish Chandra Mathnr. 16 Plastic products Seventy-five percent ol the entire wool ib produced by Rajasthan 17 Chrmicals and pharmaceuticals Mr Speaker: Seth Govind Oas has Shri R, C Majhi: May I know how put that question on behalf of Shn much foreign exchange is expected t* Hansh Chandra Mathur I would be earned from this country? request hon Members, in such matters as this, to lay emphasis upon Shri Satish Chandra: it is difficult their own needs, m relation to their to give a precise figure It all own constituency I would have depends upon the active flow of given opportunity to Shn Hansh trade Efforts are being made to sell Chandra Mathur This question was consumer goods m Saudi Arabia put by Seth Govind Das I thought he was asking whether in Jubbalpur Shri Joachim Alva. You have given sheep are reared Next question a list of 17 articles to be exported to Saudi Arabia Government of India, Show Boom In Saudi Arabia as a true welfare State, is helping 12,000 Haj pilgrims every year to go *1099. Shri R C Majbi: Will the to Arabia May I know whether Minister of Commerce Industry through Urdu literature you have be pleased to state* familiarised these pilgrims with the (a) whether a show-room in Saudi item of these articles which are Arabia has been organised, and being exported so that these pilgnms (b) what are the goods that are could be good ambassadors of our expected to be sold in that country? trade abroad? The Deputy Minister ot Commerce Mr. Speaker They must be and Industry (Shri Satlsh Chandra) - presented all these articlts so that (a) Yes, Sir they may take them, when they go (b) A statement is given below ___ Shri Joachim Alva. We must Statement exploit every channel We are send List 0/ goods which are expected to ing 12,000 pilgnms every year have good demand in Saudt-Arabta Through Urdu literature, these arti cles could be made familiar to them 1 Cuttlery The hon Minister has got up to say 2. Nails,'screws, rivets and washers something Please 3 Pipes and fittings Mr. Speaker: Hie hon Minuter. 5497 Oral Amwot fHALGUNA 20, MSP (8AKA) Oral Answers 548* A a of Conmerce and Mr. Speaker: Show room defeats Industry (Shri Lai Bahadur Shastri): tpe objects? No, no I do not know I am sorry, this idea did not strike ^ith what purpose questions are put. me It is indeed a novel idea We Shri Satish Chandra: This show will bear that in mind next year room has been started hardly five ■when Haj Pilgnms go there months ago, and it is too early to Shri Nagl Reddy: What is the jfidge how far it has been successful total amount of expenditure incurred is likely to be successful so far for this show room and the number of personnel employed in the Manganese Ore Trade show room? •1100 Shri Vldya Charan Sbnkla: Shri Satish Chandra: The expen ^Till the Minister of Commerce and diture incurred up to the end of industry be pleased to state whether February was about Rs 87,000 I a trade delegation is proposed to be could not give the number of people spnt abroad to recapture India’s tradi employed m the show room Most tional markets for Manganese Ore? of them have been employed locally there The Deputy Minister of Commerce gnd Industry (Shri Satish Chandra): Shri "Wartor: In the statement a attow questions on whatever ii avail- better market for mungtnm* ose Bid* in the Library. than this STC? M VIAjra Charan Shnkta: It was Shri Satish Chandra: The STC ia reported some time back that we had contemplating to send a delegation. t o t our traditional market and we A recommendation has been mad* ware sending a delegation in order to to the Government Nothing has regain those markets, and the Minis been decided so fur, but if and whan ter just now said that they were such a delegation is sent, it is pro contemplating to send a delegation posed to include the representative* of the nune-owners as wail as the Mr. Speaker: 1 am not talking of established exporters that I am only referring to the latest supplementary that he put, to Shri Panigrahi: May I know whe vrtiat country so much » sent and so ther tfeere is any possibility of ex on—that will be available in the Sea porting manganese ore to the USSR borne Trade and other East European countries, whether those markets have been Shri Jaipal Singh: In view of the explored? fact that the Commodity Trade Credit MtvU. be. Shri Satish Chandra: The USSR., supplying Indian iron ore, I believe for the hon Member’s information, to Japan, I want to know what im are the biggest producers of pact the recent American wheat manganese ore and one of the biggest barter deal will have on this export exporters to other countries, and our environment mam competitors also Mr. Speaker: This is a question Mr. Speaker. He wants the hon. relating to manganese ore, not iron Minister to beard the lion in its own ore at all den Shri Jaipal Singh: In that case I Shri Panigrahi: I also included the want to know the impact on this East European countries m respect of particular problem which there are also negotiations for export of manganese ore Mr. Speaker. The hon Minister is not able to answer that question off Shn Satish Chandra: Most of the hand East European Countries are import ing manganese ore from the USSR. Shri Vidya Charan Shukla: 1 just The USSR is also captunng market in wanted to know which were the U K and France and is also supplying countries where we were the No 1 chrome ore, the alloys of which can suppliers till recently, and which are the countries at present where we are be a substitute for manganese alloys, to the USA •till No 1 suppliers in the world at present Shri Tridib Komar Chandhurlr Shri Satish Chandra: I have said May I know if it is a fact that we the USA in both the cases have been facing hard competition in ■hri Vidya Charan Shukla* And the USA from Brazil recently, ia tbe not the U K ’ last few years? Shri Satish Chandra: No Shri Satish Chandra: TOiat is true. The United States steel industry has Shri Dasappa* May I know whe- been trying to develop, with the help fter this is going to be an official of the Brazil Government, the delegation, or whether we are going in Brazil where there a n large to include some non-officials also, and deposits, and the supply of ore from whether it is pot a fact there are that source has increased about four- wm-officials who are able to And • told during the last two yean They M (MJUCA) Orml Answer* 5493- jfgt Oral Awwv fBAIXTOWA M, hate SMB* «w*gh» ad*anta«e md ghrl D. C. D a n a : In view of the it better to get that fact tbat the hon. Member has with drawn his allegation against the STC, commodity from Brazil. he should be included in the delega Skrl V tfyi Chinn MwU»: la it tion. not a fact that became the manganeas Shri Joachim Alva: It is not my ore export price is going up in our inclusion, but representation for country, our main buyer* have mine-owners. developed competitive sources of supply like Brazil; it so what efforts Mr. Speaker: I am sure the hon. ax* Government making to see that Minister will send the representative export prices of our manganese or representatives? ore become competitive in the world Construction of Samadhl of Mahatma market? Gandhi K . Speaker: This relates to the + delegation. pShri Ram Krishan Gupta: SbrI Vldya Charan Shukla: This *1101. J Shri Bhakt Damhan: delegation is going to sell manganese ^Shrt D, C. Sharma: ore at competitive prices in the world Will the Minister of Works, market. Housing and Supply be pleased to refer to the reply given to Unstarred Mf. Speaker: Everything relating Question No. 172 on the 20th Novem to manganese ore cannot be brought ber, 1958 and state: here. (a) whether Government have since Sbri Joachim Alva: Just one received the detailed plans for the question. construction of the Samadhi of Mr. Speaker: No. Mahatma Gandhi; (b) whether Government have Sbri Joachim Alva: I stood up halt examined the plans; and a dozen times. This affects my consti tuency. I may please be allowed to (c) if so, the details of the approved put the question. plans? The Deputy Minister of Works, Mr. Speaker: Yes. Bousing and Supply (Shri Anil K. Chanda): (a) and (b). A few pre Shri Joachim Alva: The hon. liminary plans only have been Minister is aware that from my received from the architect. Having constituency, North Kanara and Belgaum, a large amount of manga regard to the national importance of nese ore is being exported. It is an the Samadhi the C.P.WD. carried out undeveloped area, and it has been hit detailed site investigations like trial by the State Trading Corporation’s pits and deep borings. These have activity. May I know if the Minister showed the necessity for pile foun dations. Accordingly, tht? architect is going to include in the delegation some members from my constituency? has been asked to prepare the detail' ed plans on the basis of pile founda Vfce Minister of Conuneree and tions. Industry (Shri Lai Bahadur 8hastri): (c) Does not arise. May I say a word? We would be prepared to consider his suggestion Shri Ram Kristian Gupta: In re provided he withdraws the remarks ply to a previous question the hon. Hut the STC has damaged the export Deputy Minister stated that the of manganese ore from that area? plans would be received V February, 1999. May I know the reasons for the H oi JWiMu Alva: 1 withdraw. delay? Oral Antwtrg B4ARCJH 11, 1950 Oral Ann** $ 4 0 4 . Shrimati Sncheta Kripalaai: May 8 M Anil K. Chanda: As I indicated 1b my answer, preliminary plans 1 know, Sir .... have been received, most of them, Mr Speaker: There have been a but in the meantime our technical number of questions; almost every officers consider that pile foundations, which were not envisaged eail’er session this is coming up •would be needed, and therefore, the architect has to prepare his detailed Indianisation of Foreign Firms In plans on the basis of this need India *1102 Shri Bameahwar Tantia: Will the Minister of Commerce and Indus* % stpt 3 *rpft#r Jrfre ftnarr 4tar- try be pleased to state* ^ppqfw *17$ | fa ’TTtfnft % (a) the number of non-Indians and 9 N Indians who are working in foreign- ftptrr tot owned Plantations and allied com* pames on salaries of Rs 1000 and spsft 3 f^rrt fa*rr w | ’ above per month, and Bhrl AriH 1 Chanda: 'We "have seen the remarks made by Shnmati Mira (b) what action Government Is Behn, but I would like to suggest taking to induce these firms to that m a matter like this opinions are Indianise their staff? bound to differ Many other very important disciples of Mahatmaji have The Minister of Industry (Shxl enthusiastically approved of this Manubhai Shah): (a) and (b) The plan Indianisation programme for foreign owned/controller firms was taken up Shri D C. Sharma. May I know if m 1952 and the position is re any non-officials are associated with viewed every year The present this architect for the approval of position is that m the pay groups this plan, and if so, who are they’ not exceeding Rs 1,000 pm al Shri Anil K. Chanda: The architect most all posts—whether in the Plan himself is a non-official There was tation and allied industries or others— open competition, over a hundred are manned by Indians In the higher plans were submitted There was a pay Groups also the progress has been technical committee which went into satisfactory In the year 1952 the all these plans They made their Plantation and allied industries had 79 recommendation, and the recommen Indians representing 6 7 per cent of dation was accepted by the Govern the total number employed in those ment ndustnes (1103 being Non-Indians) In the year 1958, this figure of 79 Shrimati Sncheta Kripalanr Who rose to 370 Indians representing were the members of the committee about 25 per cent of the total who were associaed with Gandhiji or Gandhi] l’s ideas who could give some The over all employment position in opinion about this 9 the* foreign owned/controlled indus trial and commercial concerns in the Shri Anil K Chanda: This com salary groups of Rs 1000 from and mittee was a technical committee above is as indicated below which scrutinised the plans The past history of this matter is well known to the Members of this House Indians Non-Indians from the earliest times there have Num- % Num- % been, I believe, two or three tom- ber ber •nittees whlbh had gone into this *95* 2,290 24 4 7,104 75 6 question. 1958 6,704 54 3 5>65* 43‘ 7 5495 Or*** Aimotrt PHALOUNA 20, 1880 (SAKA) Oral Answers 5496 Khrl B i a n lm r Tantla: From the number of Indian officer* or the num •tatement it seem* that the over-all ber of foreign officers. If the hon employment has improved to 84 per Member feels that any plantation ha cent, while in the plantation industi;- to be looked into by Government the employment of Indians in the independently of this question we ai* higher posts is only 25 per cent. May prepared to enquire into the matter. I know whether the reason lor this Shri Manaen: Apart from the ques is that the tea and other plantations tion of inducing these Anns to India are mostly controlled by European nise the superior staff, do Govern shareholders and they have given in ment consider it reasonable to *hill- structions to their agents in India not manise’ or, may I say, ‘tribalise’ the to encourage Indianisation in the superior staff, or do Government sub higher posts? If so, may I know scribe to the view or th* policy, or whether Government will check up the apparent policy, of the industry why the percentage in plantations is not to take anyone for (he superior much less than the over-all per staff, who belongs to the labour class? centage? Shri Mannbhai Shah: The main Shri Mannbhai Shah: It is true that question relates to how the foreign the total number of Indian officers officers are being replaced by Indian in the tea plantation group is lower officers, and the House can see from than the total number of Indian offi the statement that the progress has cers in the foreign companies, but the been completely satisfactory accord reason was that the tea plantations ing to the agreement at rived at with at the time of Independence were them. There is no question of non- more or less completely manned by recruument of Indian officers m the foreign officers thereafter, there was foreign tea plantations either on an understanding arrived at between account of the officers not being found the Indian Tea Association and the or because they do not want to re Government of India; and the pre cruit anybody from the working class sent target which has been reached or any other class. is well over the target fixed for 1st Shri C. R. Pattabhl Raman: Are January. 1959 1 can assure the these firms periodically asked to fur House that there are completely com nish data with regard to the superior petent Indians who can replace the officers? foreigners, but we have got to go in a gradual phased manner in the Shri Mannbhai Shah: Tea, as a Indianisation programme. matter of fact, as the House haa shown considerable interest, I may Shri Rameshwar Tantia: May I say that we divided the different know whether Government are aware agencies into four groups called that eleven tea gardens in Cachar are Group A, Group B, Group C and being laid off on account of the high Group D. Group A consists of such administrative expenditure, because tea plantations where Indianisation they have all European managers, exceeded 25 per cent. They have and if so, whether Government will been asked, end they Lave agreed, to inquire into their expenditure struc recruit 2 Indians for every non- ture to see whether the lay-off can be Indian In Group B where the India avoided by reducing their expendi nisation was between 20 to 25 per ture? cent, they have b^en asked to recruit 3 Indians for every non-Indian; in Shri Mannbhai Shah: The question Group C where the Indianisation is tabled is in respect of the number of between 10 to 12 per cent thev have Indian officers in tea plantations, but been asked to recruit 4 Indian offi the hon. Member is asking about the cers for every non-Indian: and in lay-off in certain tea gardens, which Group D where the Indiansatlon la has nothing to do with either the below 10 per cent., they have been 34*7 O ral 4 tu tfir t MARC« 11, 1«M Oral i m w w • 4w i I* vm rtt • Indians tor evary Shri P. C. Baaaoah: May I ask a n nflf^ln&an. question? I came from that ana, Imli I do not get a chanoe to ask a sup f t r i m d v a a t l Ellas: May I know plementary question. whether the attention of the Minioter hi* been drawn to the news which Mr. Speaker: Hon. Members will has appeared from time to time in have oihur oppoitumties. If they ar * the pewspapen abwt the misbe not satisfied with this, a .id the subject haviour of the British and other is so important, I shall allow a half- foreign officers towards the Indian an-hour discussion. But nobody workers? Recently, news has been thinks of any other method appearing in the newspapers about monopolising the time of the ques the misbehaviour of a British offlcor tion hour only for a single questioa. in Durgapur district? I have not been able to progress suffi Mr. Speaker: Order, order. ciently with the questions today. Shri Mahammed Ellas: May 1 know Now, next question. whether Government propose to stop at least this misbehaviour of the British and other foreign officers Accident in North Kujama Colliery towards the Indian workers9 *1103. shri S. M. Banerjee: Will Mr. Speaker: That does not arise the Minister of Labour and Employ out of the mam question. ment be pleased to refer to the reply Shri Warlor: The statement says given to the Starred Question No. that in 1958 there were only 370 908 on the 16th December, 1958 and Indians whereas the European officers state* numbered about one thousand odd. May I know when these posts w'll Iv (aj the action taken by Govern Indiamsed, and the European officers ment on the report of the enquiry eliminated from there? held into the accident in the North Kujama Colliery by the Mines Ins Shri Manubhai Shall: No target has pectorate; and been fixed. We are gradually Inca- nising, consistent with the national (b) whether full compensation has policy of the country. been paid to the family members of Mr. Speaker: Next question. the dead workers? Shri Tridib Komar Chandliur) The Parliamentary Secretary to the rose— Minister of Labour and Employment and Planning (Shri L. N. Mishra): Mr. Speaker: I have allowed a num ber of questions already. (a) Since the accident was found Shri Barfah Chaadra Mathw: There to be one of mis-ad venture and no Is one very important question that body has been held responsible for I want to ask, in regard to Indianm- it, no further enquiry or action seems tien, * to be necessary. Mr. Speaker; I am not going to (b) Full information is not avail «U q w it. All question* are important able as the Workmen’s Compen^atioi equally. Act is administered by the State Gov Shri Horish Chandra Mathar: It is ernment. It is understood that the a question at principle and the na management have deposited Bs. 1&900 tional interest. with the Commissioner for Workmen's Compensation for payment in respeot Mr, Speaker^ That ** «U right. The of six workers. No complaint he# hon. Member will take some other been received about noa-paym«»*t opportunity. the duaa. Oral A n n otrt PHALGUNA 20 1880 (SAKA) Oral Answers Shri 8 . M. Banerjee: In reply to a other inquiry into this matter, pre previous question, the hon Minister ferably a judicial inquiry, particu had said that eight persons nad died larly in the mines where repeated in this, accident. When eight per accidents are taking place 9 sons had died, may I know why a judicial inquiry was not considered Shri L. N. Mishra: So far as *his necessary m this case7 case is concerned, we are satisfied with the report that we have got of Shri L. N. Mishra: In certain cases, the inquiry, and we do not think we have a judicial inquiry, and in there is any reason for having a fresh certain other cases, we have our re inquiry gular departmental inquiry In this case, we had an inquiry by the re Dr. Melkote: Is it not a fact that gional inspector of mines, and on the considerable delay takes place in the assurance of the hon Minister, fur payment of compensation, particular ther inquiries were made, and the re ly by the private management, and if port was laid on the Table of the so, what action have Government House about two weeks back. taken to avoid this delay 7 Shri S. M. Banerjee: May I know Shri L. N. Mishra: In this parti whether it is a fact that ser'ous cular case, as a matter of fact, there charges have been levelled against has been no delay The management the functioning of the Cmef Insnec- has deposited the requisite smount, tor of Mines, and if so, v/hat action and the Chief Welfare Commissioner has been taken against him 9 of Mines has been asking the com Shri L. N. Mishra: I am not aware panies to direct the widows of the o f the charges deceased to send applications for compensation, but in spite of the re Shri S M. Banerjee: A book hcs minders, the applications have not been published about this been coming forward Mr. Speaker* The hon Member will Shri Tangamani: That is not the kindly send a copy of the book to the procedure The applications are sent hon Minister The delay is really m the administra Shri Hem Baraa: In view of the tion The money is deposited with fact that mast of those recruited for the commissioner work in the mines have practically no Mr. Speaker: The hon Member knowledge of the hazards they are will take it up with the Secretary to exposed to, may I know what steps the Ministry Government have taken to imoart training to the workers before they Mineral Development are asked to get down to the pits7 •1104 Shri H C Mathur- Will the Shri L. N. Mishra: Recently, we Minister of Planning be pleased to had a conference on safety measures state in the mines, and that conference has come out with certain recommenda (a) what percentage of the allo tions, m those recommendations, cated amounts for mineral develop there are also provisions for train ment during the Second Five Year ing; and we expect to start this Plan period has been utilised by the framing Centre and by the States vdrh parti cular reference to Rajasthan, Shri Tangamanl: In view of the fact that m another inquiry, namely the (b) whether it is a fact that pro Chinakuri inquiry, dissatisfaction has grammes for mineral development been expressed from representatives during the Second Five Year Plan oi labour, will Government not con period have not been finalised bjr f e r the advisability of having an tome of the States, and 5501 Oral Answetg MARCH 11, 1959 Oral Answers 550s N (e) if bo , what action Government The Deputy Ministar of Plaaataff have taken in the matter? (Shri S. N. Mishra): As the hon. Member knows, that expert commit The Parliamentary Secretary to the Minister of Labour and Employment tee has been appointed by the «nd Planning (Shri L. N. Mishra): Central Government to go into this Palana lignite project. This includes (a) The levised allocation for mine one member of the Rajasthan Gov ral development m the Second Five ernment service also. We shall see Year Plan is Rs. 85.5 crores which fhat this committtee proceeds with its includes a provision of Rs. 2 60 crores work very expeditiously. That is all under States. The expenditure in we can say at this stage. the first three years of the Plan is estimated at Rs. 30.41 crores at the Shri Kasllwal: May I know whether Centre and about Rs. 74 lakhs in the Government have now taken a final 8tates. As against a provision of Rs. decision about working the copper 19.25 lakhs in the Rajasthan Plan an mines in Khetri7 expenditure of Rs. 0.33 lakn was in curred during the first three years. The Minister of Industry CShrf For 1959-60 a provision of Rs 5 lakhs Manubhai Shah): The matter is under has been made in the State Flan. active consideration. (b) Barring a fow exceptions the programmes for mineral develop Ite jtth : ^rr xr^ £ ment in the States have already been finalized. However, periodical ad fa w m m % fspT Tpift # justments are made when new pro 'rep? ^ig'7 g o t # *rar posals are put forward and these are sfor ^ w k *par sfor *pt n vn x considered at the annual plan dis cussions. % SFTOTT Tpa* SRftT 7T farffiT ffar (c) Does not arise. «rr, $ sqpr 5R t £ 1 5 * t p w Shri Harisn Chandra Mathur: May H «wt ps ftrau 3.r | f a I know whether the Central Gov atsr f $ sfrr fotrT str ’ ernment have done anything in the public seftor in Rajasthan, particular Mr. Speaker: It is a general ques ly m the case of 1'gnite m the Bikaner tion Where does it lead us? area in the Palana colliery? Shri L. N Mishra: So far as fte TMWW Bajasthan’s case is concerned, it is % fa* q? jhft ^rfr? m mainly the responsibility of the State Government, and they have not yet 5m? % t 1 been able to spend the sum allotted to them. Out of Rs 19 lakhs they Mr Speaker: *, t have so far spent only Rs. 33,000; this What are the steps taken for each year also, toe re is a provision of individual State—does it arise out ot Ks. 5 lakhs, and it is for them to in this question? vestigate. Shri Harish Chandra Mathnr: I am Shri Vidya Charan Shukla: Apart asking this question particularly be from coal and iron ore. which other cause of this. Is it not a fact that the minerals are being actively exploited Central Government have appointed a for production in the public sector in special committee in respect of ex accordance with the Industrial Policy Resolution of 1956? ploitation of the lignite ore in Rajasthan, and the entire progress is Shri S. N. Mishra: This question is blocked because of this committee not of a very general character. It can making any progress, and if so, what is being done about it? not admit of treatment during th«^ Question Hour. 5503 Oral Awnotn PHALGUNA », 1886 (SAKA) Oral Answer* 5504 Shri ««■ * * Chandra Mathar rose— | srtf «mr vt *g?r to rt tarr fcrr Mr. Speaker: Next Question. q f n ? to* i f f JTRj»nr *jt irfariV ?r«i> *15 ffsr ft arm *rcrr h iv Ao iwiraPw u fiifro rw w w | ar^f «rc »t*h ^ 9 1 *nftnc ft TOT TO tot to? $ ? : tot fiw K Shri Anil K. Chanda: Our people- WWW iftr HM<*l Ro Hltqx, looked mto all the available proper ties in Mussoorie area and they con U*.* ft mxrfvar sito stot ft sidered that Charlville Estate would *T *T$ Ml ^ '1 be tne most convenient and most suit pp vrotpT s w t h v tmram w tt- able. A considerable area is needed because it has got to house 120 officers m «Pt forsft & *r^t ft 3rr^ «iEt ferr 3 at one time, and we would require a TO *Nr tot snrf?r j f $ ? number of lecture rooms, dining halls etc. as also residential accommodation The Deputy Minister of Works, for 5 officers and 26 members of tne Housing and Supply (Shri Anil K. staff. Chanda): A private building at Mus- soorie, suitable for housing the I.A.S. twit *r^r w m : ?fWr to Training School, has been located and TOrar I fa *ncror *mr aft & t m - the question of its purchase is being actively processed. fa r % JTTfar % *rr«r form r *tctt ^T§dt | 1 «p rr 11? ^ | eft srf^r «ft TOT TOPT • TOT JT5 sn^TT q>t JTTcT | 1 3fT ««r>al ^ fa fsHT *PTT W TO Shri Anil K. Chanda: No, Sir. WT^r f^TT 3ST % There is no question of any special VPT f^TT 5TTW 7 consideration. It is a strict commer cial deal and we buy at the cheapest Shri Anil K. Chanda: I do not think market. it will be possible because we are still making inquiries with regard to Shri Braj Raj Singh: Can we have the title of the present owners to the some estimate of the expenses which property, wnether there are any en will be incurred in purchasing this cumbrances on the property. It will building? take a little more time yet. We have requested the Government pleader at Shri Anil K. Chanda: It is roughly Dehra Dun to make the inquiries on about Rs. 4 lakhs. our benalf. Then certain additions and alterations will also be necessary. firm * h «rfrof ft firt fofcr tot * H « a . sptw snrwr^: tot «m Vt 3ft arRT^T SH Tft $ «fcc *fopnr JT5 «fV f«rr ^ *1 TO % snaps 3 TO' I fa facPTT fa : w*ii 5^t vt *r vphrr *ftr fa^Hi (*) tot ^ | fa fcpft 5? WIT TO Hj«1 if 5TWT ? ft fa t ra ta ft M Shri Anil K. Chanda: I think it is a little too premature at this stage to «^nraT qr faanr faur give the figures. WT T^T ^ g > TTOT WJW : TOTfl "pt WRfT (w) ^ ^ eft Pr !# fita* f fa wrfw^T ^ Vff WfaT «IT Tff Oral Antuer, MARCH 11, MW Oral An**** 550* Shri L. N. Mlshfli: It is a soggeftioa (*T) w % ftrfr f5RP(V wrsihctNim: ?wt «#t*RT *rsft % Shri Tangamani: May I know how tWHffrw («ft *tt® ft«r) . (v ) many canteens have so far been open ed and how many canteens are actual aft ^ • ly running in Delhi? (*r) frtt 'm iU *ft3R T Shri L. N. Mishra: None so far. ftrorpT f a f r o ? * Shri Tangamani: The target for the f w * | 1 Second Plan period was 15 canteens. Three years have already elapsed. I (»r) i*F *n*r 1 would Irke to know whether any «?V snrwrr : m % ^ ’stpt canteen will be opened during the rest of the Plan period. TO5TT^f%Jlfi ' f «T W5RT Wlfqcrst Shri L. N. Mishra: We are trying ariWt? to expedite it. But we have not been «ft ho hto Pro : fir ?ft $ successful. The difficulty is that these subsidies are to be given only to CO* fa> *fi| ^ STPT, fevjt «w i< operatives of worker^ o]K employers. V t *TTH ft<-H if ^•fe'TTf T^t So far no co-operatives have come $ »T| ^ ^5r W# | I forward excepting from the Delhi State •ft *TW RmVT : WT H 5TPT HVcfT gtrf^SRTRR^^t^^nft ? «ft H« ^To fiw apT^ 'PT + WHIWW 3W I (UPMi w i line was drawn and demarcated joint ly by the land records departments of *m ) : (v) gr i the two Governments May I know whether in interchanging the areas (»t) ^TTTrf # snnm ^ vo arn- wrongfully held either by India or by W ^ No. 1 which the hon Member was re The Deputy Minister of External ferring to, the boundary would be a Affairs (Shrlmati Ukthml Menon): rigid one and that in the case of dis No, Sir The final reply of Govern* pute No 2, it would be fluid, along' ment of Pakistan is awaited. the course of the river Matabhanga Shri Ajit Singh Sarhadi: May 1 Shri Tridlb Kumar Chaudhnrl: May know whether, pending the decision I know whether the areas adjoining of the Pakistan Government, there the right bank of the river Ganga like is any proposal to reduce the penod Char Durlabh and the former rail for registering in India? way station site of Lalgolaghat has been given over to Pakistan’ Shrhnati Lakshmi Menon: I do not know what the hon Member means. Shrlmati Lakshmi Menon: I want Here, the reference is to the period notice for the detailed description of between the entry of a Pakistan* the territory national and the period of registra Mr. Speaker: The hon Member is tion As far as India is concerned, elose to the boundary and he can go at every check post, as soon as he on putting questions (Interruptions ) surrenders the triplicate of the visa, tot is ’A toys 'celere Vnt Shri Tridib Kumar Chaudhuri: May registration takes place whereas in I explain the position, Sir7 the case of Pakistan, originally, it was Mr. Speaker: To whom'' The hon 24 hours and, now, as a result of our Minister wants notice regarding the&e negotiations, it has been extended to further details Next question 72 hours We are trying to have the same period, that is 14 days, to be Shri Hem Barua: May I put a ques given also to people who enter tion, Sir7 Pakistan Mr. Speaker: Shri Hem Barua is Shri Ajit Singh Sarhadi: Mv ques not one of the Members who tabled tion is this The period of registra the question tion m India is 14 days and the period of registration in Pakistan is 7*2 hours Shri Hem Barua: That shows our mental alertness, Sir We want to co The Government of India has urged that it should be increased to 14 days operate m Pakistan also Pending Pakistan May I know whether the Indian agreeing to that, is there any proposal who was captuud m this particular to reduce the 14 days here to 72 area and taken over by Pakistan has hours7 been released and whether those mili Shrlmati Lakshmi Menon: Certain tary camps that we had m the char ly not lands in the Ganges under dispy^e were destroyed by the Pakistani Border Raids troops and whether they have paid •ny compensation for this’ + Mr. Speaker: It does not arise out *1112. T Shri D C. Sharma. of this question It only relates to * \Sardar Iqbal Singh: area and not to compensation W 11 the Prime Minister be pleased Indian Visitors to Pakistan to refer to the reply given to Starred Question No 716 on the 8th Decem *1109 Shri Ajit Singh Sarhadi: ber, 1958 and state whether final re Will the Prime Minister be pKised ply has been received from the Gov to state whether the Government of ernment of Pakistan with regard to India have been able to get the time the attack made by the Pakistan arm limit of registration of Indian visi ed police on the Indo-Pakistan bor tors to Pakistan extended to 14 days der at the Amurka irrigation canal in instead of 72 hours7 Punjab? 5 5 1 * Oral Answ ers PHALGUNA 29 , 1880 (SAKA) Oral Answers 5512 The Deputy Minister of External the country at present who need Affairs (Shrlmati Lakalmtl Menon): absorption, In a reply received a short while age, the Government of Pakistan have re (c) whether the Deputy Directors peated their version of the incident, of Training in the Directorate of Em holding the Punjab Border Police res ployment Exchange recently paid ponsible Tms reply is being examin visit to Rourkela to discuss this ed matter with the Steel Project authori ties, and Shri D. C. Sharma: May I know what are the specific items in the re (d) if so, with what results7 ply of the Pakistan Government The Parliamentary Secretary to the which are being examined 7 May I Minister of Labour and Employment also know at what level these are and Planning (Shri L N. Mishra): being examined 9 (a) Yes Shrlmati Lakshml Menon: I have (b) 13,661 as on 31st January, 1959 already stated in the answer that the Pakistan Government says that the (c) No provocation came from our side (d) Does not arise Sardar Iqbal Singh In spite of the Shri Panigrahi: May 1 know the difference, one thing is clear that in number of trainees who have been the raid the Pakistan P A C person appointed so far in the different nel had been firing when the meeting State owned steel factories m India, was going on under the white flag factory-wise9 May I know whether Government has taken any step with the Pakistan Shri L. N. Mishra: I am not m a Government that persons were killed position to say that I will require when the meeting was going on under notice But, about 405 candidate* thi white flag9 have been interviewed at diftrent places and they are expected to be Shrlmati Lakshmi Menon. Yes, Sir employed shortly it was pointed out to the Pakistan Government Shri Panigrahi: May I know whe Sardar Iqbal Singh: May I know ther there is any programme to ab the reply of the Pakistan Govern sorb the trainees who have completed ment in this specific regard9 their training but are without employ ment9 Shrlmati Lakshmi Menon I have said the reply is awaited Shri L. N. Mishra. The&e trainees are expected to be employed in the steel plants The Labour Ministry Absorption of Paased-out Trainees . has been negotiating with the Hindus from Technical Institutes tan Steel Ltd, and other heavy *1113 Shri Panigrahi Will the machine plants as in Bhopal and the Minister of Labour and Employment new plant that is to be set up at be pleased to state Ranchi, and we expect that most of these trainees will be provided with (a) whether any efforts ere being jobs made on behalf of the Directorate of Employment Exchanges for absorp Shri S. M. Banerjee: May I know tion of the passed-out trainees of the whether these trainees who have Technical Institutes in the State- taken training m these institutions ewned Steel factories in India, are assured jobs after their train ing9 Is there any assurance binding (b) the number of trainees of the on the Government to provide them Government Technical Institutes in with jobs 9 Oral Answer, MARCH H, I®59 Oral Answers 5514 Shri L. N. Mishra: No such assur ment and it is expected that they will ance is given We gave them only reciprocate. a subsidy to the tune of 60 per cent— Shri Vajpayee: If they do not re by the DTRE. But, no such assurance ciprocate? (Interruptions.) was given Mr. Speaker: If they do not recipro qifeww) JTOT cate, the hon. Member will suggest what ought to be done. Shri Hem Barua: May I know whe «wr jjsh ther the attention of the Government • *nr sran ?\ , uary7 If it is a fact, have we asked our All India Radio to stop propa (**) WT ITW ^ £ fa 5TTT f^KT ganda against Pakistan? If it is not WTrr % spr th n a fact, may I know whether this ^ W WH f?TT I , sftr malicious propaganda made by Pakis tan against this country is counter (*r) Jifa ?t, n im £ ’ acted? Shrimati Lakshmi Menon: The hon The Deputy Minister of External Member has asked a number of ques Affairs (Shrimati Lakshmi Menon): tions (a) to (c) Early in February 1959, An Hon. Member: They are very the Deputy High Commiss'oner for India in Dacca received a communi simple cation from the Government of East Shrimati Lakshmi Menon* The Pakistan stating that they had issued simple thing is that it was brought to instructions to Pakistan Radio to stop our notice that the All India Radio offensive propaganda againsl India has been making adverse commen and expressing the hope that the All taries about the regime in Pakistan India Radio would reciprocate and this helped to create an atmos Shri Vajpayee: May I know if it is phere of bitter relations between the a fact that after the conclusion of the two countries The result is that we military pact between Pakistan and have pointed out to them that they America, the Pakistan radio has again are also doing the same thing Both intensified anti-Indian propaganda; countries have agreed that they will and, if it is so, what steps do Govern tone down propaganda, especially of ment projftise to take m the matter7 news commentaries and also try to create a better atmosphere Shrimati Lakshmi Menon: Some such instances were brought to the Betterment Levy notice of the Pakistan Government -t and we expect that they will recip rocate the restraint that we observe • m s / Shri Kunhan: in broadcasting their news \Shri A. K. Gopalan: Shri Vajpayee: My question relates Will the Minister of P lanning be to the recSnt intensification pleased to lay a statement showing: Mr. Speaker: It has been brought to (a) the names of the States where the notice of the Pakistan Govern* betterment levy on land was imposed; 5JZJ Oral Answer* PHALGUNA 20, JgBO (SAKA) 5516 (b) the names of the States where WRITTEN ANSWERS TO «uch levy was actually collected, and QUESTIONS (c) the amounts collected in each State so far 7 Automobile Producers The Parliamentary Secretary to the *1106 / shri v - p- Nayar: Minister of Labour and Employment \_Shri Easwara Iyer: and Pluming (Shri L. N. Mishra): Wilt the Minister of Commerce and (a) In Andhra Pradesh, Assam, Bom Industry be pleased to state whether bay, Kerala, Madhya Pradesh, Madras, In the allocation of foreign exchange Mysore, Orissa, Punjab, Rajasthan to Automobile Producers and Assem and Himachal Pradesh legislations blers any preference is shown to those have been passed for the imposition Who show increase m the percentage of betterment charges on lands which of indigenous manufacture have benefited from irrigation pro 7 jects Action is being taken by Rajasthan and Punjab to levy better The Minister of Industry (Shri ment contribution M&nubhai Shah): Allocation of foreign exchange to the three passenger car i'i)y JfybVvsr manufacturers js made jjj a ratio dS (c) Information is awaited from the 1 25 1 0 75 (in favour of Hindustan Government of Mysore Motors, Premier Automobiles and Standard Motors) and this ratio takes Shri Kunhan: May I know whether into account ( 1) the progress made it is a fact that the Planning Com by each of them in indigenous manu. mission and the Central Government facture, ( 11) manufacturing capacity have been assisting the State Govern in terms of installed machinery, jigs, ments to collect the betterment levy’ tools and fixtures, (111) demand m the market, (iv) maintenance of level of Shri L. N. Mishra* It is the inten employment and (v) the volume of tion of the Planning Commission that production when the foreign exchange the State Governments should make position for the import of components collection of the betterment levy was relatively easy But the main weightage has been given to ( 1) As Shri Tangamanl: May I know whe regards allocation of foreign exchange ther it has been brought to the notice for trucks also, the progress made by of the Government that forcible col each firm, m accordance with the ap lection is being made in Punjab fol proved manufacturing programme, is lowing the Ordinance promulgated in similarly taken into account although, January and, if so, what steps the in addition, the demand and the licens Government are taking to mitigate ed capacity are also taken into ac this, in view of the enhanced rates count which have been collected during the past two years7 Supply of Trucks The Deputy Minister of Planning *1110. Shri Aurobindo Ghosal: Will (Shri S N Mishra): On the contrary, the Minister of Works, Housing and the newspaper reports indicate that Supply be pleased to state force is being resorted to by those who (a) whether any steps have been ahould be in a position to pay these taken against the Hindustan Motor very proper charges (Interrup and Premier Automobile companies for tions.) their failure to supply military trucks, Mr. Speaker: Very well The ques and tion hour is over anvhow (b) if not, the reasons Jherefor7 The Minister of Works, Housing and Supply (Shri K C Reddy): (a) There 5517 Written Answers PHALGUNA 20, I860 (SAKA) Written Answers 551C has been no case where these two mentioned that there were consider companies failed to supply military able possibilities of increasing trade trucks against contracts placed by the between India and the USS.R. With Directorate General of Supplies and this viewpoint the Prune Minister Disposals agreed (b) Does not arise The question of extending trade with the U S S R is constantly under Machinery for Export of Products consideration of the Government •1111. Shri Anirudh Sinha- Will the Minister of Commerce and Industry Sarvodaya House Building; Society be pleased to state *1117 Shrimati Sucheta Kripalmni: (a) whether it is a fact that Gov Will the Minister of Works, Housing ernment are contemplating to evolve and Supply be pleased to state a machinery on the basis of which manufacturers could be asked to ex- (a) whethei it is a fact that the iport a percentage of their products, Sarvodaya Co-operative House Build* 'And ing Society will be accommodated m a 200-acre plot of land in Delhi reserv , The Minister of Industry (Shri The Minister of Industry (Shri Manubhai Shah): (a) Yes, Sir Manubhai Shah): (a) and (b) A statement is laid on the Table of the (b) The undertaking which is ex House [See Appendix III, annexure pected to go into production during No 87] this year is being set up by M/s Ralliwolf Ltd of Bombay Report of the Chief Inspector of Mines (c)— *1121 Shri T B Vittal Rao. Will the Minister of Labour and Employ 1956 1957 1958 ment be pleased to state Qty Value Value Qty Value (a) the year for which the last re No* Rs & Rs Nos Rs port of the Chief Inspector of Mines has been published, (b) the reasons for the delav a 896 1 68 3959 10 07 6818 14 63 lacs lacs lacs publication of the report for the suc ceeding years, Indians in Banna (c) the price fixed for a copy of the report, Shri Warier •1119. Shri Kodiyan. (d) the price originally fixed in 1950; {Shri Vasndevan Nair and (e) the reasons for this high price? Will the Prime Minister be pleased sto state The Minister of Labour and Em ployment and Planning (Shri Gulzari- (a) whether he has received any lal Nanda): (a) 1956 representation from the Bengalee (Chamber of Commerce, Rangoon, re (b) the report for 1957 has been garding the sufferings and hardships sent to the Press for printing, that for of Indians in Burma, and 1958 is not yet ready as statistical re turns from mine owners are only (b) if so, what steps have been being received taken in this connection’ (c) and (d) The price of the The Deputy Minister of External report vanes from year to year The Affairs (Shrimati Lakshmi Menon): price of the report for the vear 1950 • Sports Goods Industry Supply of Soda Ash to Glass Industry •llS fl S Shri Kodiyan. C Shn Goray \Shri Warior: I Shri Jadhav: •1122 | Shn Khushwaqt Rai: Will the Minister of Commerce and Shri Ajit Singh Sarhadi. Industry be pleased to state Will the Minister of Commerce and (a) the steps taken by Government Industry be pleased to state io develop the Sports Goods Industry, and (a) whether the Glass Industrial Syndicate, Ferozabad P ) have (b) the total amount so far spent submitted a memorandum to Govern Uy Government in this connection? ment praying that the supply of Soda Written Answers MARCH 11, 1959 Written Annum 55a * Ash should be raised to 600 tons per exercise control over their distribu month; tors and retailers Nepa Newsprint 1* also being made available free of duty (b) whether it is a fact that since for printing of cheap text books, etc. July, 1958 on an average only about A small Committee to deal with com 290 tons of Soda Ash have been sup plaints about unduly high prices plied to this industry, and charged by dealers has also been functioning The question of fixing (c) what steps Government are con fair prices has been refeired to the templating with a view to mtotmg the Tariff Commission and thoir report is requirements of this industry" expected by May, 1959 The Minister of Industry (Shri Manubhal Shah): (a) to (c) The Purchase of Mesta by State Trading; Glass industrial Syndicate, Feroza- Corporation bad had asked for the sunply of 600 tons of Soda Ash per month, but the Shri P G. Sen: actual supply sincc July 1958 has, on Shri Jhulan Sinha: the average, been 450 tons a month { Additional imports are bcng arrang Shri Bholanath Biswas: ed to meet the unsatisfied demand of the Glass and Bangle Industry Will the Minister of Commerce and Industry be pleased to state. i Shortage of Paper in Madras (a) whether it is a fact that the *1123 Shri Subbiah Amhalam: Will purchase of mesta variety of jute is the Minister of Commerce and Indus being refused by the State Trading try be pleased to state Corporation, (a) whether there is a shortage of (b) if so, the grounds, thereof, and paper and consequent use in prices thereof in Madras, (c) what measures are being pro posed to give relief to the groweis in respect of sale of mesta7 (b) whether any representation has been received from the State Govern The Minister of Industry (Shri ment in this regard, and Manubhai Shah): (a) and lb) The (c) if so, what steps have been State Trading Corporation are con taken by the Centre’ centrating mainly on the purchase of raw jute and are not buying the mesta variety, the Corporation has been The Minister of Industry (Shri authorised to purchase raw jute for Manubhai Shah): (a) to (c' Due to export and naturally they are in cut m imports on account of foreign terested in such varieties as have an exchange difficulties, there was short export possibility age of paper in Madras and elsewhere in the country and consequently there (c) The mills have been asked to was rise in prices The Madras Gov increase their purchase of raw jute ernment brought to the notice of the and mesta, at the instance of Govern Central Government the difficulties ment, the banking industry has agreed experienced by consumers m th<>ir recently to provide additional facili State In order to reduce the short ties which will be equally applicable age and high prices in the country, to purchase of mesta as for raw jute. Central Government instructed the These measures have beeu taken only Paper Manufacturers to distribute recently, and further measures can be their products equitably and also to considered subsequently in the light of the experience gained. 55*3 Wntten Answen PHALGUNA 20, 1880 (SAKA) Written Answers 5524 Indian Political Prisoner In (b) According to the available in Kuala Lumpur formation, the ‘Ainrita Pataka’ (Hindi) Allahabad has been closed by fShri Joachim Alva: the management, on tne ground that J Shri Subblah Ambalam: the paper had been incurring losses 1125 Shri Tangamani: during the last nine years of its exist [ Shri E. V. K. Sampath: ence Will the Prime Minister be pleased Heavy Electricals (Private) Limited, to state: Bhopal r Shri Vidya Charan Shukla: (a) whether Shri P Ramiah, a •1128. J Shri D C Sharma: political prisoner, serving a seven-year l^Shri Morarka: term m the Pundu Jail at Kuala Lumpur has undertaken an indefinite Will the Minister of Commerce and fast and has already completed thirty, Industry be pleased to refer to the five days in that process, reply given to Starred Question No 603 on the 27th August, 1958 and state (b) if so, the reason for his going on a fast, and (a) what commission or remuneia- tion is payable to the purchasing (c) whether our good offices have agents of the Heavy Eie'tncals (Pri been utilised to save his life” vate) Ltd, Bhopal, The Deputy Minister of External (b) whether orders fn the supply Affairs (Shrimati Lakshmi Menon): of plant and machmeiy requued for (a) to (c) The Government of India phase I of the project from abroad, are aware that Shri K Ramiah (not have since been placed, and P Ramiah as mentioned by the Mem bers) is undergoing a seven-year (c) if so, the progress made so far pnson sentence at Seremban Jail in m the matter’ the Federation of Malaya, but the The Minister of Industry (Shri Government of India are not w are of Manubhai Shah): (a) to (c) A any fast being undertaken by him statement is laid on tht Table of the House [See Appendix III, annexure Discontinuance of Publication of No 88) Newspapers Indian Textiles •1127 J’ Shri Nath P8l: ' ^ Shrimati Renu Chakravartty: 'Shri Ram Krishan Gupta: Will the Minister of Labour and Em Shri Rameshwar Tantfa: ployment be pleased to state Shri Shree Narayan D u : Shri S. M. Banerjee* (a) whether any newspaper pro Shri Tangamani: prietors have communicated to Gov •1129 ^ Shri A. K. Gopalau. ernment that they would not be able Shri Raghunalh Singh* to continue the publication of their Shri Supakar: papers as a result of recomirendations Shri Damani: of the Working Journalists Wage Com Shri Anirudh Sinha: mittee; and Shri Siddananjappa (b) whether any paper has been Will the Minister of Commerce anff closed? Industry be pleased to lay a statement on the Table showing The Minister of Labour and Em. ployment ami Planning (Shri Gulzari- (a) the present posiUon with re lal Nanda): (a) Government have not gard to production internal consump received any representations. tion and stocks of fidian textiles; 5 p 5 Written Anwers MARCH 11, 1«» Written Annum 55* (b) whether the export of Indian textiles has increased as a result of various remedial measures adopted by id * : Government in recent months; o wo «ft t w fw r «n* (c) if so, to wha» extent especially in the case of our erpoits to Afghanis MUIT fW W ffTJ tan and South East Asian markets; dVr wrpw *rff H (d) whether any further measures fa TMT, % nmKlfiRT TOT S W are contemplated t-> step up the ex 5? % 3tTT % 3 ^ TOT# port of Indian textiles, end £*TT f*F ft55*T (e) if so, the details thereof'' jffaflKH *T^t F m ’TT % f?W •ft'* v n vt nt | vi % The Minister of Industry (Shri Marmhhai Shah): ca» to (e) A state W TR +4 fPF MTmr |ft '•I 1*1 VRTT ment is laid on thn Table of the House I’ [See Appendix III, annexure No 89] WFTT JWTT«I (WTo «jfH- Prices of Jute Goods W) WK PfiHI jfliWK aret tV w tht % *rrt if &nr •1130. Shri Rameshwar Tantia: Will -the Minister of Commerce and Indus TT 5PHT 5TTCT cftr ^TRTTt try be pleased to refer to the reply afa forc »m | sr* f^n* .given to Starred Question No 1524 on ? 0 % "HR VMMM ^ ^TT f^JJT the 8th April, 19j8 on the •ubject of fixation of minimum prices f The Minister of Industry (Shn Coir Floor Mats and Mattings Manubhai Shah): The minimum prices fixed by the Indian Jute Mills’ Asso ¥lia, /S h r i V. P. Nayar: ciation have not advetse-ly affected the ' ^ Shri Easwara Iyer: jute goods exports in 1958-99 Will the Minister of Commene and Industry be pleased to state Industrial Tribunal, Eraakulam (a) how far the purchase of coir floor mats and >na tings by vatious *1131. Shri S. M. Banerjee: Will Departments of *li> Government of the Minister of Labour and Employ India has increased m the year 1M>7; ment be pleased t state wnethc r the and Industrial Tribunal, Ernakulam has (b) whether Government Depart awarded a bonus of six months wages ments purchase coir pioducts only to the employees of the thiee princi from the Coir Board jr from the pr*- pal oil companies in Ernakulam area’ vate trade’ The Minister of Industry (Shri The Minister of Labour and im - Manubhai Shah): (a) It is not known jployment u l Planning (Shn Gulcari- whether there ha* been any increase 4al Nanda): Yea in the purchase of coir floor mats an4 J**7 Writtm Amwtn FHALGUNA M. iflSO (SAKA) Written Amuiri 553f mattings by the varisus Government Departments in 1957 compared to their (v ) fira otWV * zrr purchases during previous years. In 5*hr »Nr «rr jPTT f®F (>t) *r**, «mfcr faar^V d k Advisers attached to planning Commission 5TT^) (m) •1185 Shri Harish Chandra Mathar: % H h l % fWT'TT "FT VTSTR Will the Minister of Planning be SFPTC ^ — pleased to lay a statement showmg: (a) the names of the Advisers at ( ? ) 3(fT ft, 5TT*ff tached to the Planning Commission; tmt tt ([hrr i and (^ ) ^T% frftfaiR t (b) their functions and responsibi lities? The Deputy Minister of Planning (^ ) fapT % fa t (Shri S. N. Mishra): (a) and (b). The Planning Commission h£s at present three Advisers, Programme Adminis arcaftf * # arm i tration—Shri S. V. Ramamurty, 5S>9 Written Answers MARCH u t 1959 Written Answers 553* Shn Nawab Singh and Shri M S. (c) whether Government have for Sivaraman For different subjects mulated any scheme to compete with there are also senior officers desig Brazilian Coffee in the European nated as Advisers for the purpose of Market’ coordination of work The Deputy Minister of Commerce The Advisers, Programme Ad and Industry (Shri Satish Chandra): ministration, keep in close touch with (a) No, Sir There has, however, been the progress of the Plan in different a decline in value owing to falling States They assist both Central Minis puces of coffee in the world market. tries and State Governments m mat (b) No, Sir ters concerning the implementation of various programmes They also co (c) Does not arise. ordinate at the official level the pre paration of the annual and the Five vlndia Coffee Depots and Coffee Houses- Year Plans of the States with which they are concerned Special studies f Shri A K. Gopalan: are also entrusted to them from time *1139. Shri Kunhan: to time [ Shri Sanganna: Will the Minister of Commerce and Export of Indian Textiles to Iran Industry be pleased to state: •ii*a / Shrl AJ14 Singh Sarhadi: (a) whether the India Coffee De \Shri Daljit Singh: pots and Coffee Houses are consi dered as industrial establishments;, Will the Minister of Commerce and and Industry be pleased to state* (b) if so, what are the reasons for (a) whether possibilities of further declaring thebe as industrial establish exploitation of markets in Iran for ments now’ Indian Textiles have been explored, and The Deputy Minister of Commerce and Industry (Shri Satish Chandra): (b) if so, with what result’ (a) and (b) Coffee Houses are consi The Minister of Industry (Shri dered ‘industrial establishments' and Manubhai Shah): (a) Yes, Sir not so the India Coffee Depots De tails have been called for and the (b) The import duty which is as position will be examined sessed by weight weighs more heavily on Indian coarse and medium varie Export of Iron Ore ties Our representations on this matter are being sympathetically con *1140. Shri Panigrahi: Will the sidered by the Government of Iran Minister of Commerce and Industry be pleased to state: Export of Coffee (a) whether Japan has exprtwflH *1137 Shri Bibhuti Mishra: Will the its eagerness for entering into a Minister of Commerce and Industry term contract with India for obtain be pleased to state. ing iron ore; (a) whether it is a fact that since (b) whether Japan intends to ex 1957 the export of Indian Coffee .s tend the current project by an ad going down in Europe; ditional two million tons of iron ore for export; (b) if so, whether it is due to com petition frorft the Brazilian Coffee, (c) whether a contract for the and supply of one million tons of iron ore had been signed with Czechoslovakia; 5531 Written Answer* PHALGUNA 20, I860 (SAKA) Written Answer* 5532 (d) whether negotiations for ex Connection with the statement made porting another two million tons of hy the Pnme Minister of the Royal iron ore through Mangalore Port are Crovernment of Laos on 11th Febru being earned on, and ary, 1959, on the subject of the Geneva Agreement on Laos They are also (e) if so, with which countries’ 4ware of the statement made by the The Deputy Minister of Commerce foreign Minister of the People’s Re- and Industry (Shri Satish Chandra): Public of China m elaboration of thia (a) and (b) In addition to the pre letter sent five year contract commencing 1957-58 for the purchase of about 1 5 (c) So far as the Government of million tons of Indian iron ore per India are concerned, they are endea year, Japanese Steel Mills have agreed vouring to get the International Com- to take two million tons annually over ihission for Supervision and Control and above their normal purchases in Laos to deal with the problems from 1964 onwards for a period of 10 connected with the Geneva Agreement years Negotiations are also taking On the cessation of hostilities m Laos, place for additional exports by utiliz in accordance with the views ex ing the existing facilities available for pressed by the Co-Chairmen in their shipment at Paradip port latest notes dated 31st January, 1959, Copies of which are laid on the Table (c) Negotiations are m progress <*f the H ousl ” [See Appendix III, (d) and (e) The State Trading annexure No 90] Corporation are exploring possibili ties of exporting iron ore througn Industrial Disputes Mangalore to Italv, West Germany and the United Kingdom *1142 -/"Shrl Ram Krishan Gupta: Shri Tangamanr Will the Minister of Labour and Geneva Agreement Employment be pleased to refer to *1141 Shri Goray Will the Prime the reply given to Starred Question Minister be pleased to state No 850 on the 11th December, 1958 &nd state the progress made so far in (a) whether Government are aware evolving machinery of workers and of the fact that the Foreign Minister employers for screening cases wherein of China has administered a stern recourse to law courts is contemplat warning to Laos against their unilate ed’ ral renunciation of the Geneva Agree ment on Indo-Chma, The Minister of Labour and Em ployment and Planning (Shri Gulzari (b) whether he has asked the Gov Ul Nanda). Except for one employers’ ernment of India to “Check firmly the Organisation, all other Central orga scheme of the U S to instigate Royal nisations of employers and workers Laotian Government to repudiate the have either set up the required machi Geneva Agreement” and nery or have taken steps to do so (c) what is the reaction of the Gov ernment to this warning7 Abolition of Contract System and Coal Mines The Deputy Minister of External Affairs (Shrimati Lakshmi Menon): f Shri S M. Banerjee* Part-time Personnel of the Planning Prime Minister’s Visit Abroad Commission Shri Ram Krishan Gupta: •1144. Shri Harish Chandra Mathur: Shri Keshava: Wi'll the Minister of Planning be { pleased to state whether it is a fact Shri Raghunath Singh: that the Government proposes to replace part-time personnel of the Will the Prime Minister be pleased Planning Commission by whole-time to state personnel’ (a) the names of the countries from The Deputy Minister of Planning which he has received invitations for (Shri S. N. Mishra): Except when it visits during 1958 and 1959 so far; is unavoidable, the Planning Com and mission has full-time officers on its (b) the names of the countries staff To this three exceptions have which he proposes to visit during been made in the mutual interest of 1959’ the Planning Commission and the Ministries concerned The Prime Minister and Minister of External Affairs (Shri Jawaharlal Desertions of Displaced Persons from Nehru): (a) and (b) The Prime SauraAitra D. P. Homes Minister has received invitations from •1145. Shri Panigrahi: Will the many countries m various parts of the Minister of Rehabilitation and Mino world He has expressed his grati rity Affairs be pleased to state tude for these invitations and stated that, while he would welcome the (a) whether there have recently opportunity of visiting them, it is eccurred large scale desertions of difficult for him to find time to do so East Pakistan refugees from Dis m the near future He hopes that he placed Persons Homes in Saurashtra, may be able to arrange some visits and later He visited Bhutan and Sikkim in October last year. He has no pre (b) if so, the reasons therefor7 sent invitation of going on a foreign tour in 1999. 5535 WH*e» Xnnom PHALGUNA 80 , 1880 (SAKA) Written A iuw ert 5536. Foreign Prime Ministers’ Visits to in the State of Jammu and Kashmir India during the first two years of Second. Five Year Plan; and / Shri Sam Krishan Gupta: • \ Start Kallka Singh: (b) the total amount to be spent Will the Prime Minister be pleased during the current financial year? to state The Deputy Minister of Planning (a) the names of Prune Ministers of (S fcri S. N. Mishra): (a) and (b) A foreign countries who visited India statement regarding Centrally spon during 1958, and sored schemes is laid on the Table of the* House [See Appendix III, an- (b) the total amount of expendi ture incurred upon their visits’ nejcure No 92] As regards purely Central Schemes it is not generally The Prime Minister and Minister of possible to allocate by States and Ter External Affairs (Shri Jawaharlal ritories Nehru): (a) The under-mentioned Prime Ministers of Foreign Countries Development of Handloom Industry in ▼isited India in 1958 as State Guests — Jammu and Kashmir 1 H E Mr Viliam Siroky, Prune Muuster of Czechoslovak. 1711. Shri D. C Sharma: Will the Republic Minister of Commerce and Industry be pleased to state 2 The Rt Hon Harold Macmil lan, Prime Minister of the United (a) the amount allotted to Jammu Kingdom and Kashmir for the development of handloom industry during 1958-59 so 3 The Rt Hon Walter Nash, far. and Prime Minister of New Zealand (b) the items on which the expendi 4. H E Mr Adnan Menderes, ture has been incurred’ Prime Minister of Turkey The Minister of Commerce and In 5 H R H Prince Norodom dustry (Shri Lai Bahadur Shastri); Sihanouk, Prime Minister of Cam (a) Rupees two lakhs (Rupees 80,000- bodia as loan and Rs 1,20,000 as grant) 6 H E Mr Firoz Khan Noon, (b) A statement is laid on the Table Prime Minister of Pakistan of the Sabha [See Appendix III, 7 The Rt Hon John G Diefen- annexure No 93] baker, Prime Minister of Canada 8 H E Mr Emar Gerhardsen, Delhi Municipal Corporation Prime Minister of Norway 9 The Hon Dr Kwame Nkru- 1712. Shri Ram Krishan Gupta: Will mah, Prime Minister of Ghana the Minister of Works, Housing and Supply be pleased to state the total (b) Actual amounts paid out upto amount of loan and subsidies given t> 81-1-1959 Rs 98,364 06 Delhi Municipal Corporation! for Low Total estimated expendi Income Group Housing Scheme during ture for these visits Rs 5,34,010 00 1958-59’ Schemes in Jammu and Kashmir The. Minister of Works, Housing and Supply (Shri K. C. Beddy): The Low 1710. Shri D. C. Sharma: Will the Income Group Housing Scheme Minister of Planning be pleased to envisages advance of loans only and vtate: does not provide for any subsidy No (a) the total amount spent by the loan has been advanced to the Cor Centre on the schemes sponsored and poration so far during 1958^59 under executed by the Central Government the Scheme Written Answer* MARCH 11, 1959 Written Anmoen 553! The Corporation, however, applied Accidents In Stene Quarries to the Delhi Administration in Decem 1715. Shri Pangarkar: Will the ber, 1958, for a loan of Rs. 17‘ 23 lakhs Minister of Labour and Employment (subsequently raised to Rs. 50'00 be pleased to state: lakhs) under the Low Income Group Housing Scheme Since the loan under (a) the number of accidents that the Scheme is admissible for the con took place in the stone quarries in* struction only of residential houses dustry during the last six months; and for persons belonging to low-mcome groups, and not for the building of (b) the number of persons killed shopping, community or educational in those accidents’ centres etc, the Delhi Administration The Minister of Labour and Employ have asked the Corporation to review ment and Planning (Shri Gulsarilal their proposal and give further details 'The reply from the Corporation is Nanda): (a) Five. awaited (b) None. Film Producing Companies in India Glass Factories in Orissa 1713. Shri Ram Krishan Gupta: Will 1716. Shri P. K. Deo: Will the Minis the Minister of Information and ter of Commerce and Industry be Broadcasting be pleased to state: pleased to state: (a) total number of Him producing companies m India (State-wise), and (a) whether there is any proposal to set up any new glass factory or to (b) total number of new film pi <>- expand the existing units in Onssa; ducmg companies formed in 1958-59’ and The Minister of Information and (b) if so, whether any survey has Broadcasting (Dr. Keskar): (a) and been made for the availability of (b) Government do not regulate the material for setting up glass factory» production of films There is no law requiring the registration of film pro The Minister of Commerce and In ducers It is, therefore, not possible dustry (Shri Lai Bahadur Shastrl): (a) No, Sir to give precise information about the number of film producing companies (b) Does not arise in the country or the number of such companies opened during a particular Plan Publicity in Orissa period 1717. Shri P. K. Deo: Will the Technical Training Centres in Bom Minister of Information and Broad bay State casting be pleased to state* 1714. Shri Pangarkar: Will the Minister of Labour and Employment (a) the names of the dramatic be pleased to state the names and troupes m Orissa which have been number ®f places where technical given Plan publicity dramas in the training centres were started m Bom Second Five Year Plan period; bay State during the years 1957-58 and 1958-59’ (b) how many Onya dramas have been selected so far for Plan publicity The Minister of Labour and Em and which are those; and ployment and Planning (Shri Gulzari- lal Nanda): No new training Institute (c) the total amount spent in Orissa was started in Bombay during 1957-58 so far in the Second Plan period for However, new Institutes were started Plan publicity through dramas? at Jamnagar, Akola, Kandla, Nagpur, Ahmedabad and Nanded during 1958- The Minister of Information a wt £9. Broadcasting (Dr. Keskar): (a) 5539 WW«** Answers PHALGUNA 30, *#80 iSAKA) Written Answers 5540 1 Annapurna Theatre Group 'A’, (d) the amount deducted from the Pun compensation payable to debtors un 2 Annapurna Theatre Group ‘B’, der section 7(2) (b) of the Displaced Cuttack Persons (Compensation and Rehabili tation) Act, 1954, 3 Kalinga Arts Players, Baghrabad, PO Chandni Chauk, Cuttack-2 (e) the amount paid to the displaced banks in respect of their claims; and 4 Janta Rangmancha, Cuttack (f) what process, if any, has been 5 Natya Shree Theatres, Station evolved to link the mortgage claims Bazar, P O Banpada, Distt of displaced banks with the verified Mayurbhanj claims of debtor-mortgagers to avoid 6 Chanderkala Theatre, Sungoradi delay and errors* 7 Gopbandhu Dramatic Club B<*1 The Minister of Rehabilitation and kati Minority Affairs (Shri Mehr Chand Khanna): (a) 880 claims of charge 8 Bakdevi Natva Sangha, Badala against the properties of displaced Hanga PO Yagatsmghpur debtors have been filed by the 14 9 Boys’ Cultural Club, PO Naya- Oispface Mortgage Claims of Displaced Banks (e) The information is not availa ble 1718. Shri Onkar Lai- Will the Minister of Rehabilitation and Mino (f) Banking Companies have been rity Affairs be pleased to state asked to furnish the Index Numbers of (a) the number of mortgage claims the claims of their debtors As and filed by the displaced banks under when they furnish the said Index the Displaced Persons (Compensation Numbers the files of the Banking and Rehabilitation) Act, 1954 in res Companies are linked and charges are pect of the properties in West Pakis ascertained after calling, both the tan mortgaged by the displaced deb parties tors before partition, vnrfsro (b) the amount involved in respect of these claims, ?v»H- n r wrcnro “wtor” : (c) the amount due to displaced banks in resnect of such claims under ^ f'Tr f r Section 6 of the Displaced Persons (Comoensation and Rehabilitation) («p) wt «f (b) if so, the names of such edu % «w w f I cational institutions and the amount w r t fhn*f VPrfsPT ; of assistance given to each Institution? ( « ) 'JW w T w %*Wt< The Minister of Rehabilitation and ^nfaff*twfwpfr*r w Minority Affairs (Shri Mehr Chand Khanna): (a) and (b). As in earlier *s r «t f, «ft **wr w % *ro Tf years, financial assistance has been p t $, ft* «RF*f jwm «nft iwt ttfinr vni »Wt Small Scale Industries in Andhra Pradesh WipHW ' {%) Ijtf W K 1721 Shri M. V. Krishna Rao: Will •ft «r4t •rflft' # w *r£ the Minister of Commerce and In f f StRr w t % ht o t dustry be pleased to state the total VMT * Assistance to Private Schools (a) the number of companies re gistered during 1958-59 m Andhra 17X0. Shri Daljlt Singh: Will the Pradesh* Minuter of Rehabilitation and Mino rity Affairs be pleased to state* (b) the authorised capital, com pany-wise, and (a) whether the Rehabilitation Ministry have sanctioned any finan (c) the names of companies which cial assistance to private schools dur went into liquidation during the m — ing 1908-99 so far; and period in Andhra Pradesh? 5349 Wrtttm A n w x n PHALGKJNA 30, 1M0 IS AKA) Written Answers 3544 « The Minister of Commerce m d Ia - to Nepal will not be taken into ac Anrtry (Blni Lil B ihite Shastri): count for the import entitlement (a) to (e). During the first eleven under the Cotton Textiles Export months of 1958-59, 17 companies with Promotion Scheme; and a total authorised capital of Rs. 51*79 lakhs have been registered in Andhra (b) if so, for what reasons? Pradesh. The -number of companies The Minister of Commerce and In reported so far to have gone into dustry (Shri Lai Bahadur Shastri): liquidation in the same period is . 21 (a) Yes, Sin N on :—The names of newly regis (b) There are no import and ex tered and liquidated companies and port restrictions between India and their other particulars, such as, in Nepal, and no foreign exchange is dustrial classification, names of manag involved in trade with Nepal. ing agents, secretaries and treasurers, managing directors, directors, etc., Industrial Estates in West Bengal situation of registered office, objects, authorised, subscribed t_ ,_ Shri S. C. Samanta: and paid-up capital, etc. and re 1 Shri Snbodh Haasda: gularly published in the Monthly Will the Minister of Commerce and Blue Books on Joint Stock Companies Industry be pleased to refer to the in India, copies of which are available reply given to Unstarred Question No in the Parliament Library. 418 on the 25th November, 1958 and state: Flexible Tube Factory at Andheri (Bombay) (a) how far the Industrial Estates in West Bengal have been constructed 1723. Shri Siddananjappa: Will the and occupied; Minister of Commerce and Industry (b) how the Industrial Estate at be pleased to state: Kalyani has been utilised; (a) whether a flexible tube factory (c) at what stage is the Baruipur has been set up at Andheri near Industrial Estate; and Bombay; (d) whether any other Industrial (b) if so, by whom and at what cost Estate will be taken up in West it has been set up; and Bengal during the remaining period (c) what is the estimated annual of the Second Five Year Plan? capacity of the factory? The Minister of Commerce and In The Minister of Commerce and dustry (Shri Lai Bahadur Shastri): Industry (Shri Lai Bahadur Shastri): (a) to (c). In West Bengal, only one (a) to (c). The Indian Flexible Tube industrial Estate viz. at Baruipur has Manufacturing Co, Andhen, have set been completed. The Industrial Estate up a factory for the manufacture of flexible tubes with an annual capa at Kalyani has been partially com pleted. The present position in res city of 380,000 meters per annum The pect of the two Estates is given below. factory which is in the small scale sector, is understood to have a block Baruipur Industrial Estate: Hie capital of Rs. 2‘9 lakhs and a working construction of all the 20 work-sheds capital of about Rs. 1'2 lakhs. of this estate covering an area of about 30,000 sq. ft. has been com Cotton Textiles Export Promotion pleted. Eight work-sheds have already Scheme been occupied by various industries 1724. Shri Siddananjappa: Will the manufacturing ink & adhesives, Minister of Commerce and Industry chisels, rivets, electrical components be pleased to state: etc. The other sheds have ^Iso been (a) whether it is a fact that exports earmarked and are expected to be of cloth and yarn effected by mills occupied shortly. 5545 Written A n v e r , MARCH U. 1959 Written Afutaer, 5546 Xdlyani Industrial Estate The con The Minister of Labour and Employ - struction of seven workshop sheds ment and Planning (Shri Guhartlal covering more than 80,000 sq ft have Nanda): (a) 4,46,247 in 1957-58 and been completed and allotted to small 2,84,803 m 1958-59 (upto December, industrial units for being utilised as 1958 only) cycle nm factory, lug shop, poly (b) Retrenchments, removal of mould factory, crank shaft factory, drop hammer, mechanical toy factory, workers, non-payment of wages or and small tools manufacturing cen bonus, etc tres The construction of additional workshop sheds covering about 30,000 Industrial Disputes sq ft has been taken up by the State Government and is expected to be 17«r f Shri Keshava: completed during the current financial \ Shri Ram Krlshan Gupta: year Will the Minister of Labour and (d) Three additional Industrial Employment be pleased to state: Estates viz at Saktigarh, Siligun, and Howrah are proposed to be established (a) the total number of industrial ftunng tne remaining penob eft. Mnt diFipitas, diir.'jjq, fha_ 'yuui IftUir'iM,, Second Five Year Plan State-wise, (b) the number of man-days lost Training of Welfare Personnel duo to industrial disputes during the above period, State-wise, 1726. Shri R C Majhi: Will the Minister of Labour and Employment (c) the number of labour strikes be pleased to state during the years 1957-58 and 1958-59; and (a) the total target fixed for train ing of multi-purpose welfare workers (d) the number of man-days lost under the Ministry of Labour and due to strikes during the above period, Employment jn the Second Five Year State-wise’ Plan period, and The Minister of Labour and Employ (b) the number of persons who ment and Planning (Shri Gulzarilal have received training upto the end Nanda). (a) to (d) Two statements of 1958’ are laid on the Table of the Sabha [See Appendix III, annexure No 96] The Minister of Labour and Em ployment and Planning (Shri Gulzari- lal Nanda) (a) and (b) 54 persons National Labour Relations Board have received training upto the end 1729 Shri Keshava: Will the Minis of 1958 Workers are being trained at ter of Labour and Employment be the rate of per year 100 pleased to state Indusfnal Disputes in Mysore (a) whether it is a fact that the Government has a proposal to 1727. Shn Keshava: Will the Minis establish a National Labour Relations ter of Labour and Employment be Board on the Amcncan model or pleased to state otherwise, and (a) the number of man-days lost on (b) whether such boards are likely account of industrial disputes in the to be established at State level also? State of Mysore during the year 1957- 58 and 1958-59, and The Minister of Labour and Employ • ment and Planning (Shri Gulzarilal (b) the predominant feature of Nanda): (a) and (b) No such pro- these lock-outs or strikes? Dosal is under consideration. 3547 Written A rutom FHALGUNA 20, 1680 ( SAKA) Written Antwers 5548 Uniform Wages ter Plantation (b) if so, the result thereof? Workers The Minister of Commerce and Sfari Bam Krishan Gupta: Industry (Shri Lai Bahadur Shastri): Shri Keshava: (a) and (b) Of the proposals J which were then under the considera Shri S. M. Banerjee: tion of Government, the following I Shri Sarju Pandey: have been approved *° far*.— Shri Aurobindo Ghosal: Will the Minister of Labour And Name of Indian Name of the Articles to Employment be pleased to refer to the firm foreign col- be manufac- reply given to Starred Question No. laborator lured 244 on the 25th November, 1958 and state: 1. M/s.T. Manck- M/s. Bennin- Mercerisers (a) whether replies from the State lal Mfg. Co., ger Engg. Governments regarding application of Bombay. Co., Swit uniform wages for all plantation zerland. workers have been received, and 2 M/s. Star M/s.Famatex Trading Co. G.m.b.H., Hot air (b) if so, the nature of the replies Ltd., Bombay. West stenten. Germany. received? 3. Calico In M/s. Karl Textile wet The Minister of Labour and Employ dustrial En Meiuel, processing ment and Planning (Shri Gnlzarilal gineers, Bom West Ger- machinery, Nanda): (a) Replies have been received bay. many. from all State Governments addressed in the matter, except the Government The remaining proposals are under of Assam examination (b) The State Governments have Manufacture of Small Tractors pointed out that the existing wages f Shri Ram Krishan Gupta: have been fixed under the Minimum 1742 J Shrl Dwarikanath Tewari: Wages Act 1948 and in some cases by ") Shri Nathwani: agreements Variations m the wage Shri Morarka: rates are due to different conditions in various areas, such as size of Will the Minister of Commerce and plantations etc Most of the State Industry be pleased to refer to the Governments are not m favour of reply given to Unstarred Question No setting up a Wage Board for this 1047 on the 8 th December, 1958 and industry. state* (a) whether schemes for the manu facture of tractors of smaller sizes Manufacture of Textile Machinery have been finally approved; and 1731. "y Shri Ram Krishan Gupta: (b) if so, the details thereof 9 Shri Pangarkar: Will the Minister of Commerce and The Minister of Commerce and Industry be pleased to refer to the Industry (Shri Lai Bahadur Shastri): reply given to Unstarred Question (a) and (b) Two schemes, with a No 1079 on the 8th December, 1958 total capacity of 2,500 Nos of agri and state: cultural tractors per annum in the range of 12—18 DBHP and 20—30 (a) whether the proposals from DBHP, have been approved Licences private parties for the manufacture of under the Industnes (Development & different items of textile machinery Regulation) Act will be issued after in collaboration with foreign firms finalisation of terms of foreign colla have been considered; and boration. 5549 Written Answer* MARCH li, 1959 Written Annoert 5550 Clow e of I w Gardens detailed examination of the organisa tion of the All India Radio 1 i m Hurt Bun Krishan Oopto: Will the Minister of Commerce and Indus try be pleased to state the nature of Nangal Fertilisers and Chemicals the steps taken so far to tackle the (Private) Limited problem of closures of tea gardens and to restore their normal function r Shri Ram Krishan Gupta: ing? \Shri D. C. Sharma: The Minister of Commerce and Will the Minister of Commerce and Industry (Shri Lai Bahadur Shastri): Industry be pleased to state: Closures of tea estates have been uncommon It has been noticed that (a) the progress made so far in only a small number of sub-marginal setting up the Nangal Fertilizers and gardens are prone to closure more Chemicals (Private) Ltd; and than others The starting of a Tea (b) the date by which the construc Guarantee Fund Scheme to enable the tion work will be completed and the marginal estates to meet their working factory will go into production? capital requirements to the maximum possible extent is now being examined The JffinftCer o f Commerce ancT by the Tea Board Schemes for Industry (Shri Lai Bahadur Shastri): rendering assistance in the matter of (a) About 75 per cent of the electro- supply of fertilizers and transport are lyser plant has arrived at the factory also being considered These measures site and civil work pertaining to the will add strength to the weaker electrolysis plant is about 65 per cent gardens, and help them to function complete well The electrical equipment from Messrs English Electric Company is All India Radio expected to start arriving shortly Construction of building for the Recti 1734. Shri Ram Krishan Gupta: Will fier Plant and the 66 KV sub-station the Minister of Information and in the switch yard has started Broadcasting be pleased to state the nature of the steps taken or proposed Construction of nitric acid Sc to be taken for exploring all avenues ammonia plants and Fertilizer produc for effecting further economies in the tion plant buildings has made sufficient establishment charges of All India headway to enable the erection work Radio7 to start before the middle of this year Factory boundry wall is almost com The Minister of Information and plete Broadcasting (Dr. Keskar): Proposals for incurring expenditure, particularly The railway track from the factory of new posts, are examined by an entry point to the Electrolysis Plant Economy Committee Short term area is being laid vacancies, are not normally filled in and posts are kept unfilled where they The contract for the factory water are not urgently required Economy supply system and the water treat was effected by reducing the normal ment plant has been awarded The transmission period of original broad contract for laying the masonry gravity casts by half an hour a day The flumes has also been awarded and the •conomies effected by the Ministry work started The contract for the have been included in the Statement supply, erection and commissioning of laid by the Prime Minister on the the Heavy Water Plant has been Table m answer to Question No 722 awarded to M/s Linde of West Ger the 23rd February, 1959 The Special many on deferred payment terms Reorganisation Unit of the Ministry of Construction of about 50 per cent of Finance is shortly undertaking a quarters of various types in the nor- 55JJ Written A n tw n PHALGUNA 20, 1880 (SAKA) Written Answert 555a manent township has been completed far for the import of jute from Pakis and most 0f them have been electri tan during 1958-59; and fied. Construction of the remaining (b) the quantity of jute to be houses is in progress. Necessary certi exported from India through the ficate of approval has been obtained State Trading Corporation or other from the Director of Industries, Punjab channels? to enable the Nangal Fertilizers to obtain a mining lease in respect of The Minister of Commerce and the limestone deposits at Ramsar- Industry (Shri Lai Bahadur Shastri): Serla in the Momi Hill tracts. The (a) 77 licences had been issued dur limestone quarried from these deposits ing the period July, 1958 to January, will be transported to the factory site 1959. through a ropeway for part of the (b) Exports are canalised through distance. Tenders have been invited the State Trading Corporation against for the construction of the ropeway contracts in the light of stock and which will cover a distance of about price situation. No ceiling has been 7J miles. fixed on these exports. (b) The erection of all the plants except the Heavy Water Plant is Export of Baw Jute expected to be completed by the 1738. Shri Rameshwar Tantia: Will middle of 1960. The Heavy Water the Minister of Commerce and Indus Plant is expected to be completed in try be pleased to state: the first quarter of 1961. (a) whether exports of raw/ jute Trade with U.S.SJL have been made during January and 1736. Shri Rameahwar Tantia: Will February, 1959; the Minister of Commerce and Indus (b) if so, which are the principal try be pleased to state the main importing countries; and articles of imports from and export to the U.S.S.R. and other allied coun (c) if the reply to part (a) is in tries? the negative, what are the difficulties for jute exports? The Minister of Commerce and Industry (Shri Lai Bahadur Shastri): The Minister of Commerce and The main articles of imports from and Industry (Shri Lai Bahadur Shastri): exports to the U.S.S.R. and other East (a) No, Sir. European countries are as under:— (b) Does not arise. Imports (c) Some balers are believed to Iron and Steel, Machinery, Metals have held up the shipments assigned (other than Iron and Steel), Electrical to them by the State Trading Cor goods, Dyes and colours, Chemicals, poration. Newsprint and paper board, Fertilizers etc. Industrial Output Exports 1739. Shri V. P. Nayar: Will the Tea, Coffee, Jute manufactures, Minister of Commerce and Industry Wool raw, Tobacco, Spices, Mica, be pleased to state: Shellac, Vegetable oils, Hides and (a) whether Government have any skins, Footwear, Cashew nuts, Iron information of the value of per capita ore, Cotton textiles, Woollen fabrics industrial output in the different etc. States in India at present; and Jute Trade (b) if so, what are the details? 1787. Shri Rameshwar Tantia: Will The Minister of Commerce and the Minister of Commerce and Indus Industry (Shri Lai Bahadur Shastri): try be pleased to state: (a) and (b). Statistics regarding the (a) the number of licences given so value of per capita industrial output 53fc3 Written Answer, MARCH 11, 1959 Written Answer* 5554 itt the different States in India are not (bj the reasons for the same? available If the hon Member requires The Minister of Labour and Employ- information regarding any particular pmnt and Planning (Shri Nanda): industry or industries in any State in (a) and (b; The conclusions of the country Government will try to {he 15th and 16th Sessions of the collect some information that may oe Indian Labour Conference are at readily available various stages of consideration or Consumer Price Index Number in }mplementation Kanpur Nangal Fertilisers and Chemicals 1740. Shri S. M. Banerjee. Will the (Private) Limited Minister of Labour and Employment be pleased to state 1742. Shri Ajit Singh Sarhadi: Will (he Minister of Commerce and Indus (a) whether the calculation of try be pleased to state. dearness food allowance by tne em ployers under instruction from the (a) whether in view of heavy Labour Commissioner, U P was Dasea Remand for fertilizers for increasing on 408 istead of 514 consumer inaex pioduction of food in our country it vs. vsa. Ocasnhfis, 1958, *s •prupuaet 'tuensat •psruiiu^utni (b) if so, whether any fresh instruc capacity of the Nangal Fertilizers and tions have been issued by the Minis Chemicals (Private) Limited, and try of Labour and Employment, and (b) if so, to what extent’ (c) if not, the reasons for this under calculation’ The Minister of Commerce and industry (Shri Lai Bahadur Shastri): The Minister of Labour and Employ (a) and (b) It is being examined ment and Planning (Shn Nanda) whether and, if so, to what extent the (a) No These Consumer Price designed production capacity of the Index Numbers are compiled by Nangal fertilizer factory can be the U P Government It appeals that increased the Labour Commissioner, U P, sug gested to the Employers’ Association of Northern India, Kanpur, that, since fjprrasr afar there was delay in the compilation of the index number for November, 1958 and onwards, on account of the supply of wheat at cheaper rates, they should advise their members to pay the deai ffrPTTT % ness allowance for December, 1958 on SWT *TS4T Ro ? % % the basis of the index number for 5 q-§ ifrTR ^ frfT fo : October, 1958, namely 514 on a provi sional basis subject to adjustments afterwards The index numbers lor («p ) srfciT November and December, 1958 were *T *TRS srrefasp aiTSft $ 505 and 485* respectively (b) No (c) Does not arise (**) 35R ^ WNHT t Indian Labour Conference Vt* 5IT VtT SPlfa f # I , 1741. Shn S. M. Banerjee. Will tht Minister of Labour and Employment (*r) JTtSTJTT ^ oft *Tf«n^ be pleased to state ^>fr 3n % (a) the decisions of the 15th ana fov ,^ - f a r R tdjTSf 5rfa<* 18th Indian Labour Conference whicn have not yet been implemented, ana tfk 5555 W tfttm Answers P8ALOI7NA 20, I860 (SAKA) Written Answers 5556 ( « 0 hwt qr (Prrt (c) The decision of the Dock Labour Board that the number of the identity in ^ V BWI WlPrtv ft*TT ? card of every worker should be made distinct by pasting a slip containing w*r iftr («r) ^m*fft*frprc*?r0te«PT 3TCT fa * ?T*ft W f t 3 STqfoP •w-Wfe dir, fr o ft v t «prw wwm WTfinrfsr, srSfa* *r?*nt u u * www wh: «wr«r ^ tot # *t w* wm r ft# *1% (%*m) & *rra fqr fr gtam m t 1 (*) forer ahtt «r=fr % (*r) (b) the incidence of cost of trans f * firo 3f qrft t $fenr «ft* i port in regard to (i) manufacturing at % w inrtsft 3 vwfar Pw t *rar 1 1 tyres and (ii) raw materials and in particular raw rubber; ana (w) 'TTfTirtf^ (c) the percentage of cost of elec tricity consumed? P tw t ** srftrftpr •ft qiw fire ^ tt^ t sy* State SI. Name and address of the (b) The proposal is under con No. Agency. sideration. (c) The name of the University Bihar 1. M /s. Mukund Lai ft Sons, mentioned in part (a) above is Dhansar, Dhanbad. Annamalai University. 2. M's. Bhartya Mardoor, Supplier, Dhansar, Purchases by the Government of Dhanbad. India 3. M/s. Colliery Labour Supplier, Dhansai, 1750. Shri Anlrudh Sinha: Will the Dhanbad. Minister of Works, Housing and 4 M/s. Oudh Bihari Singh Supply be pleased to state: & Co., Dhansar, Dhan bad. (a) the quantity and value of pur chases made by the Government of Bombay 5 Information and Help Bureau, Old Kinkhab- India for their requirements during wala Market, 2nd Floor, the last 5 years ending the 31st De Tower Road, Surat. cember, 1958, year-wise; and 6 Archibishop’s Employ- (b) the percentage of purchases ment Bureau, Archibi shop’s House, Wode- made from Indigenous sources during housc Road, Bombay -1 the same period, year-wise? 7 Y.W.C.A. Employment Bureau, Mayo Road, The Minister of Works, Housing Bombiy and Supply (Shri K C. Reddy): (a) 5 The Asiatic Service Bu Quantity-wise statistics of purchases reau, 1st Floor, Bhiwandi- have not been maintained. The value wala Building, Lanung- of the purchases made by the DG. S. ton Road, Bombay. & D, D G IS D , London and I.SM.. Wtst Bengal 9 YW.CA. Employment Washington during the last 5 years Bureau, Calcutta. ending 31st December, 1958 year-wise, is indKated in statement No I laid on the Table of the Sabha [See Appen Peaceful Uses o t Atomic Energy dix III, annexure No. 99 ] 1749. Shri D. C. Sharnu: Will the (b) The percentage of purchases Prime Minister be pleased to state: made from indigenous sources during the same period year-wise is in (a) whether the Government ot dicated m statement No 2 laid on India have received any request from the Table of the Sabha [See Appen Universities and other Institutions foi grants-in-aid for investigating the use dix III, annexure No 99.] of atomic energy in agriculture, food processing, animal husbandry, fishery, forestry and allied subjects; (b) if so, the nature of assistance proposed-to be given by the Depart ment of Atomic Energy; and f*T f t ' (c) the names of Universities and other Institutions interested in this ( * ) WT OT1 | ft» flTWT project? The Prime Minister and Minister of External Affairs (Shri Jawaharlal •ft wrnu Nehru): (a) Yes. One University has finnr t ; S36 l Written Answers MARCH 11, Written A«wer. 55<& (b) what are the estanated revenues (*) qf* Wt TO S W from these additional resources pro tw irfanr sit# s m |, mised to be raised by Ona 3a Govern ment for the remaining years of the ittK Sccond Plan period7 («r) w i f n r «rft^ foRf 1753 Shn Pamgrahi Will tne Installation of 100 KW Short Wave Minister of Planning be plea cd to Transmitter at Delhi refer to the reply given to Unstarrrd Question No* 26 dated the 17th 1755 Shn Shivananjappa* Will the November, 1958 and state Minister of Information and Broad casting be pleased to state (a) whether On&a Government have submitted j's estimates of re (a) whether it is a fact that the venue from additional resouiccs like installation of a 100 Kw short wave assessment and recovery cf be‘ tei transmitter has been completed at ment fees, special assessment on irti All India Radio, Delhi, and cultural land used for non-agricul- tural purpose^ improvement m tax (b) if so what are the main features administration and intensification of of the above project and the estimated small savings drive, and expenditure thereof? J563 Written Answer* PHALGUNA 20, 1880 (SA K A ) Written Answers $$(4 Th* Minister of Information and Board, but the security guard refused Broadcasting G>r. Keskar): (a) Yes, to allow him to do so as entry at the Sir. time of booking was prohibited There was a scuffle and thereafter the (b) The installation has been pro Tally Clerks present demonstrated m a vided with East West beam aerials to body as a protest against alleged man carry External Services programmes handling. The transmitter incorporates latest safety devices for operating person nel and for costly equipment and en Export of Mica and Tobacco to ables quick change-over of operating Belgium frequency. 1758. Shri Ajit Singh Sarhadi: Wdl The estimated expenditure cn the the Minister of Commerce and indus project is Rs 40 31 lakhs try be pleased to state* South Africa-Born Indians (a) whether it is a fact that there is scope for increase m export of Mica 1756. Shri Shlvananjappa: Will the and better grade Tobacco to Belgium; Prime Minister be pleased to state* and (a) whether it is a fact tnat a (b) .f so, the steps taken to increase small group of South Africa-born this export’ * Indians have applied to settle in the village of Sakhrol near Bombay in The Minister of Commerce and In India; and dustry (Shri Lai Bahadur Shastri): (a) and (b). There appears to be scope (b) if so, whether the Government for increasing exports to Belgium of India have allowed them to settle which imports Mica either directly there? from India or through Netherlands, the UK. and West Germany. Pro The Prime Minister and Minister of cessed Mica is imported from Euro External Affairs (Shri Jawahailal pean countries only Export Pro Nehru): (a) and (b) The Govern motion Council is considering schemes ment of India have no information for preshipment inspections and tak Strike of Clerks of Dock Labour ing steps to ensure timely delivery of Board, Calcutta goods with a view to encourage direct exports. 1757. Shri Muhammed Elias: Will the Minister of Labour and Employ As for exports of Tobacco to ment be pleased to state Belgium, only the medium and low grades of tobacco are generally m de (a) whether it is a fact that there mand. The Indian Central Tobacco was a strike of 563 Reserve Pool Committee, the Tobacco Export Pro Tally Clerks under Dock I.aoour motion Council and the Tobacco Board, Calcutta, for few hours on the officers stationed in Antwerps and 7th December, 1958, and London continue to strive to improve the sales of Indian* tobacco in (b) if so, the reason of this Svrike’ Belgium. The Minister of Labour and Em ployment and Planning (Shri Nanda): Export Licences for Cotton (a) Out of 563 registered Tally Clerks 252 were required to be booked for 1759. Shri Tajnlk: Will the Minister the afternoon and night shifts on the of Commerce and Industry be pleas 7th December, 1958, but none of them ed to state: accepted booking. (a) whether the licences for the (b) One of the Tally Clerks wanted export of Deshi, Bengali and Vegadi to force entry into the Office of the cotton are being given in the Bombay 559$' Written Answers MARCH 11, 19M Wrttten Answers 5566 State to the actual exporters and mjiiw (*f ) 1762. Pandit t . P. JyotisM: Will the Minister of Information and Broadcasting be pleased to state: ( * ) qrfiisq (a) the names of the magazines and periodicals published by Government at present; $567 Written A n a w n PHALGUNA 20, 1880 (SAKA) W ritten Anatoera 5568 (b) the number of copies of each Chaldean Syrian Bank LtdL, Trichar printed and sold during the last three i (*r) uve. *tro To ®pt » The Deputy Minister of Planning (Shri S N. Mishra): (a) Yes, Sir (w) tf\K (* ) UKvsrtc * (b) Copies' of the repoits of the \svt \ so % ir?zr three sub-committees are placed on the Table of the House [Placed m Profa firaT «ptt 1 Library See No LT-1279/59 J Village Housing Projects (c) The reports are proposed to be 1761. Shri Ram Krishan Gupta: considered in the next meeting of the Will the Minister of Works, Housing National Advisory Committee on and Supply be pleased to state Public Cooperation, the date of which is yet to be fixed (a) whether the scheme for opening six research-cum-training centres Nangal Fertilizers and Chemicals under Village Housing Project Scheme (Private) Limited has been finalised, and (b) if so, the details of Ihs •scheme'’ 1769 Shri Daljit Singh: Will the Minister of Commerce and Industry The Minister of Works, nonsing and be pleased to state. Supply (Shri K. C. Reddy). (a) and (a) the number of retired Govern (b) Action is under way to set up ment servants re-employed in the ) T n W rito. A M ~ r > WMLOOKA JO, MN W U I Writ*. /« » *. 5S7> the same period West Bengal report X m jil Fertilizers and Chemicals ed 6 lock-outs, Bombay 3, Madras 2 (Private) Ltd, New Nangal so far; and Mysore 1 and The figures m respect of December (b) the number among them be 1958 and January, 1959 would be longing to Scheduled Castes 7 published m the Gazette ip due course The Minister of Commerce and In Requisition of Properties at Lhasa dustry (Shri Lai Bahadur Shastri): (Tibet) (a) 52 1772 Shrimati Ha Palchoudhuil (b) One Will the Prime Minister be pleased to Export of Umbrellas state 1770 Shri Siddananjappa. Will the (a) whether it is a fact that the Government of India propose to ac Minister of Commerce and Industry quire ceitam properties at Lhasa be pleased to state (Tibet), (a) the quantity of compute* um brellas exported duiing 19W, ind (b) if so, the details thereof, (cl whether the Union Government (b) to which countries were the\ have acquired properties in other exported’ countries also, and The Minister of Commerrc and In (d) if so, the details thereof to dustry (Shri Lai Bahadur Shastri): gether with the names of countries in (a) 3654 dozen during January- November 1958 Figures for Decem which properties have been acquired’ ber 1958 arc not yet available The Prime Minister and Minister of (b) Mainly to Aden, Tanganyika, External Affairs (Shri Jawaharlal Nyasaland, Afghanistan,, Fiji Island*, Nehru)' (a) Yes Kenya, Rhodesia, Belgian Congo and (b) Negotiations are underway to Trucial Oman lease a plot of land measuring 5,500 «q ft and acquire buildings thereon Industrial Disputes and Lock-outs for the rersience and office of car 1771 Shn Siddananjappa' Will the Consul General Minister of Labour and Employment (c) Yes be pleased to state the nur.ibei of industrial dispute* and lock-outs (d) A statement is laid on the throughout the country during fable of the House f See Appendix Novembei and December, 1958, and JII, annexure No 101 ] Januarv, 1959, State-wise 9 Trade with Switzerland The Minister of Labour and Em ployment and Planning (Shri 1773 Shn Daljlt Singh: Will the Gulsarttal Nanda): The requisite in ^mister of Commerce aijd Industry formation is regularly published m pe pleaded to state the Indian Labour Gazette bv 'ho (a) the total amount of trade bet Director, Labour Bureau Simla ween Switzerland and India during According to the latest issue of the J957-58 and 1958-59, and Gazette (January, 1959), Andhra (b) the steps being taken to reported 1 industrial dispute in strengthen the trade relation with November, 1968, Assam 3, Bihai 8, Switzerland’ Bombay 24, Kerala 7, Madhya Pra desh 1, Madras 27, Mysore 9, Orissa 1, The Minister of Commerce and In Punjab 4, Rajasthan 3, Uttar Pradesh dustry (Shri Lai Bahadur Shastri): 6, West Bengal SI and Delhi 4 During fa) A statement showing figures of 390 L .SD —4. Written Answers MARC# H. «59 Written Answer, 5574 India’s trade with Switzerland during Lai Nanda): (a) The information 1997-58 and the first eight months of given below 1858-59 (Apnl-November 19S81 for Statement Which latest statistics are available, is given below — No on Live No oa Live Register as Register as Statement (allegory on 31-12-57 on 31-12-58 (\aluc in Rs UUis Sche- Schc- Sche- Sche* duled duled duled duled C^astes Tribes Castes Tribes 19S7 sS 190* (April November) Graduates ST 42 Matriculates Cm Imports from Swit eluding In zerland 16 <0 6 29 termediates') 1 020 f> 1,07S 1 Exports ('including re exports)to Switzer 101AI I 0-1 6 1.H-’ 1 land r 04 4* fodvfcV dkhni Ch\ The. information, is not available with Swit7crland is 4h s M Licensing of new factories in Punjab \ B 1 usurer in. p r i s imal and sub 1775 Shri Daljit Singh Will the let,! to re\ i s i>n Mimstei of Commerce and Industry be pleased to state (b) A Trad< Ctntn (uw-Showroom (a) the number of applicants who is being run in Geneva This centie is intended to introduce Tndian goodr have submitted their applications from to the Swiss market the Punjab State to the Development Wing of his Mimstiv to start new 2 The Tea Boara s organising pub factoues under the Industries (De licity for Indian tea through despatch velopment and Regulation) Act during of samples and gift consignments the veais 1956, 1957 and 1*153 Similar (ffoits air mad< in respect (b) the number of them allowed to of tobacco also start new factories’ A minnituie exhibition of Indian The Minister of Commerre and In goods is being oigamscd in co dustry (Shri Lai Bahadur Shastri): operation with a Swiss D tpailmcntal (a) and (b) A statement given Store below Educated Unemployed in Punjab Statement 1774 Shri Daljit Singh Will th< No of No of Minister of Labour and Hnplovment \ 1 jr applica eases be pleased to state tions approved •■ecu' cd b\ the (a) the numbei of unemployed Licensing Graduates, • Intermediates Main Committee culates belonging to Scheduled C-stes and Scheduled Tribes who wrre on i9s<> *37 *5 the Live Registers of Emplovmcnt E\- 1957 4i 20 changes in Punjab during 1957 58 and 1958 4it 12 * I his does not include the applications of 1958-59, and rolling mills which have been all reiected (b) the number of them provided from all over the countrv excepting four, one each for Bihar, Andhra Assam and With employment during the same Kerala period7 t2i pending cases out of these 41 cases are earned forward to 1959 for consideration. The Minister of Labour and Em ployment and Planning (Shri Gulzarl ^575 Written Answers PHALGUNA 4t, 1880 (&AKA) Death of Dr M 5576 R Jayakar t m l Development Works Schemes Rehabilitating Displaced Persoiis from in Andhra East Pakistan in Braj 1T76. Shri M V Krishna Rao: Will 1778 Raja Mahendra Pratap* Will the Minister of Planning be pleased the Minister of Rehabilitation and t o state: Minority Affairs be pleased to state (a) whether it is a fact that the (a) whether it is possible to re Andhra Pradesh Government have habilitate displaced persons from •ent a representation to the Central East Pakistan *1 Bra], and government for continuing Local Development Works Scheme to the (b) whether Government are av> are «nd of the Second Five Year Plan that there are tracts in Braj suitable period, and for agriculture and starting cottage industries’ t»rt 0. S. Pant] fftve hi* best to the Poona University India and particularly from IM m— of which he was the founder and the rashtra, we have sustained an irrepar Vice-Chancellor for a number of able loss With these words. I ywus. We are all to-day mourning associate myself with the sentiments- the loss of a distinguished intellectual expressed by the Home Minister. who had many qualities and was an Mr. Speaker: I fully associate my eloquent speaker too He served the self with the sentiments expressed b y country in his own way for more than the hon Home Minister and I an mttfr 40 years So, I would lequcst you, the House will agree with those senti Sir, to send to the members of the ments He was a gieat scholar and bereaved family our sympathy and statesman and an eminent educatloa*- condolences on the loss wh eh has 1st He served the country m varun» been caused to them and to the coun ways and led a full and whole life. try by the death of Dr Jajakar We mourn the loss the country has- sustained in his death and I am sure Shri Khadilkar (Ahmednagar) Su, the House will join me n conveying J -ijujv Jjp jierroitted .to _sav _a .low aur hsff bereaveA words I fully share the sentiment’s family The House make kindly expressed by the hon Home Minister stand m silence for a minute on the said demise of Dr Jayakar I The Member's then stood tn silence for came to know him intimately after a minute he had retired from active public life and when he was closely associated, 12 09 hrs. as the Home Minister pointed out, with the rearing up of Poona Univer RE GOVERNMENT SERVANTST sity It is well known on our side CONDUCT RULES that since 1915 till his letirement from Shri S. M. Banerjee (Kanpur) Sir, active political life in the country he today some rules relating 1o the Gov played a dominent foil’ and paiti- ernment Servants’ Conduct Rules cularly in the diffeient shifts in oui have been modified and they have political life ho had shown the cour come out m th< newspapers age of conviction to stand n support Mr. Speaker: Whatever happens, I of his views, whatever the majority wilt not take notice ul anything thought about it As he has said, he unless was an outstanding intellectual and an eminent lawyer and it is vei\ laic Shn S. M. Banerjee: It is a very to meet a peisonality of Di Jayakai’s impoitant thing The Home Minister type Though m politics, ho had kept desei\es our congratulations for himself away from that iou{jhncas modifying these rules The rules have which is associated with polices ici come out in various forms in the tain amount of crudeness or vulgarity newspapers if I may put it, and kept his pei tonal Mr. Speaker: Whichever hon Mem ity at a level where he could take ber wants them might have sent up to pursuits of his liking, like mu-.ic notice Each hon Membji has got a and education He, in his autobio telephone in his house and he coaid graphy some portions of which are have easily asked the hon Home' published, has given a mstcry of Minister and ho would have co fide nearly half a century of our national prepared Hon Member need not take struggle and what different role indi away the time of the House now. viduals who are known to us—some Shri S. M Banerjee: It may be done* o f them have passed from amongst tomorrow, Sir sis—have played On this occasion, as lie has rightly said, this House feels Mr Speaker: If he had written to that by the passing away ot his me I would have passed it on to tib* personality from the public life of hon Home Minister. 5 5 79 PHALQUNA 20. 1BW (SAKA) Committee on 5580 Private Members’ Bills and Resolutions 32.19 hrs. Station City, Rohtak qnd is being produced in the Court-of Addition PAPERS l a id o n t h e t a b l e al District Magistrate, Rohtak, F a l l i n J u t e P r ic ks today for trial”. The Minister of Commerce and 12.12 his. 4Mhwtnr (Shri Lai Bahadur Shastri): Stfr, I beg to lay on the Table a copy CONVICTION OF A MEMBER -flf statement correcting the statement tinade on the 8th December, 1958 in Mr. Speaker: I have also to inform xesponse to a Calling Attention Notice the House that I have received a fur by Shri Rajendra Singh regarding fall ther wireless message dated the lflth in jute prices. [See Appendix III, March, 1959, from the Superintendent .Annexure No. 102. J of Police, Rohtak:— A m e n d m e n t s t o t h e C inematograph “Chaudhary Pratap Singh (C e n s o r s h ip ) R ule s Daulta, Member, Lok Sabha, was produced before the Additional The Parliamentary Secretary to the District Magistrate, Rohtak, for Minister of Information and Broad trial today, who has convicted casting (Shri A. C. Joshi): Sir, on him under Section 143, Indian behalf of Dr. B V. Keskar, I beg to Penal Code, for being a member lay on the Table, under sub-section of an unlawful assembly in the (3) of Section 8 of the Cinematograph District Courts, Rohtak, and sen Act, 1952, a copy of Notification No. tenced him to simple imprisonment *GSR 243, dated the 28th February, for two months and a fine of 1959 making certain further amend rupees two hundred or in default ments to the Cinematograph (Censor- to undergo one month’s further ■ship) Rules. 1958. [Placed in Library, simple imprisonment. He was S ee No. LT-1278/59.1 placed in “A” Class and has been sent to District Jail, Rohtak, to undergo his imprisonment” . 12.11 hrs Shri Braj Raj Singh (Firozabad): May I suggest, Sir, that in cases ARREST OF A MEMBER where Members of Lok Sabha are Mr. Speaker: I have to inform the convicted and they have to serve House that I have received the follow their terms of imprisonment, they ing wireless message dated the 10th may be called to Delhi and allowed March, 1959, from the Supei inlcndent to remain h«ie and take part in the •of Police. Rohtak:— proceedings. Mr Speaker: Very well. Sardar "I have the honour to inform Hukam Singh may present the report you that Sub-Inspector Mehnga of Committee on Privafe Members’ Ram, Station Officer, Police Bills and Resolutions Station, City, Rohtak, has found it his duty in the exercise of his 13.13 hrs. powers under Section 54 of the Code of Criminal Procedure to COMMITTEE ON PRIVATE MEM arrest in default of bail Chaudhary BERS’ BILLS AND RESOLUTIONS Pratap Singh Daulta, Member, T h ir t y - se ven th Report I*ok Sabha, for his having com- Sardar Hukam Singh (Bhatinda): anittod an offence of beings mem Sir, I beg to present • the TWrty- ber of unlawful assembly in the seventh Report of the Committee cn District Courts, Rohtak, today at Private Members' Bills and Resoh** 14 15 hours. He is at present in tions. the custody of police at Police 5581 MARCH 11, 1959 U.ISi lira. 12.15 hrs. ‘ANNOUNCEMENT RE. REPORTS STATEMENT RE: FIRING ON OP GOVERNMENT COMPANIES ASSAM BORDER The Deputy Minister o f E r te n d Mr, Speaker: I want to make a Affairs (Shrimati Lakshmi M e m ) : small announcement to the House As Sir. I fuliy share the anxiety ami the House is aware copies of reports concc-rn shown by hon Members in of Government companies are required conncction with the firing incidents to be laid on the Table of the House across the East Pakistan—Assam under sub-section (1) of Section 639 bordti The Prime Minister had of the Companies Act, 1956 Hitherto given the House some details about the practice has been that these this unprovoked Pakistani firing, am reports were first laid on the Table 23rd February, 1959 when an adjourn and then only circulated to Members, ment motion was sought to be moved, though under the Companies Act, as and also while answering supple soon as an annual general meeting of mentary on 26th February, 1959 an shareholders is held by a company, a Starred Question by &n hon. Mem- its annual report becomes public pro ber I now give the following further perty and extracts are published in information that is available with us. newspapers Recent Pakistani filing on the Assam bolder has been directed against t m To enable hon Members to get areas* (a) the Patharia Forest, on* copies immediately after the publica (b) villages west of Karimganj. in tion m the newspapers, the Minister the Cachar District of Assam. In the of Industry has suggested to me that Patharia Forest, firing was directed in copies of these reports may be allow the last fortnight against Hartakitilln ed to be posted to Members directly and Adamtilla As the House will by the Board of Directors as soon as remember, firing in the Patharia the annual general meeting of these Forest was started by Pakistan on companies is held and they may be 6th February, 1959. On 28th Feb laid on the Table thereafter as soon ruary 1959, one Indian border police as possible formally I do not see constable was killed at HartakitiUn any objection in agreeing to this border outpost and another constable course as the proposed procedure sustained minor injury at Adamtilla. will give ample time to Members to No damage to property has been study the reports i eported Pakistani firing m villages west o f In accordance with this piocedure Kanmganj was directed agaiprt Government companies may in future villages or hamlets of Mahishashan, despatch directly copies of thQir Madanpur, Latu, Sutarkandi, Jarapeta. annual reports to Members immediate Lafasil, Borapunji and Kurikhula. ly after their annual general meetings These Indian villages or hamlets are are held At the same time, they .situated near the border and some o f will also arrange to send 10 copies them are on the bank of the Kushi- of these reports to the Parliament yara River. Pakistani firing in this Library. As usual Government will area was started on 13th February, duly lav the Reports on the Table 1959 and was continued intermittent of the House formally as soon as ly Besides one person killed and 2 possible as required under the Com injured as stated by me on 23rd panies Act. February 1959, one woman was wounded by a Pakistani bullet in Jarapeta on 26th February 1959, and a border security force constable 5583 iitatemeM K , fhiHff PHALGUNA 20, 1880 (SAKA) 5584 on Assam. Border sustained injuries at Madanpur on 4th 12.19 hrs. March 1959 Three Pakistani soldiers GENERAL BUDGET—GENERAL and one civilian raided the house of DISCUSSION—contd an Indian national Bharat Namosudla of village Ratanpur on 28th February Mr. Speaker: The House will now 1959, assaulted the inhabitants, take up General Discussion of the extorted Rs 1,700 from the owneis Budget Shn Rameshwar Tantia was and molested two ladies The Gov 111 possession of the House ernment of Assam have asked the Government of East Pakistan to Shri Rameshwar Tantia (Sikar): punish the culprits, return the loot Mr Speaker, Sir, when 1 was speaking and compensate the injured Our about the implications of income-tax High Commissioner has also been on companies you were pleased to asked to take up this matter at observe that we will get a chance to Karachi No other reports of damage speak on that later when the Demands to property have been received for Grants art taken uo Therefore, I will now take up the excise dutiea A ceasefire was arranged between pioposed in the Budget the Deputy Commissioners of Cachar and Sylhet and firing ceascd along the entire Cachar border on 8th March, Just now there is no excise duty 1959 on power-looms which are less than four in number at a particular place, No encroachment of Indian territory and there is a small excise duty on took place m either of the two areas powerlooms where there are 4 to 25 mentioned above and Jndian forces powerlooms at a place It is all nght, returned fire, when necessary that there is no excise duty on those powerlooms where there are less than The attention of the Pakistan Gov four But the powerlooms are divid ernment has been repeatedly drawn ed 111 such a way that even 40 power to these incidents of wanton aggres looms under one management are siveness of their border forces Prime divided into ten units of four just to Minister had earlier mentioned in the House that such firing does no good cscape the excise duty Apart from that, Sir, the cotton mills industry to either country Similar sentiments comes next to the cinema industry, have been expu**sed by the Pakistan which is the biggest industry in India leaders but filing incidents go on 40 cotton mills have closed down and Under the circumstances, while wt more are to be closed That is the all 1 egret the inconvenience and situation So, I request the hon. injury caused to innocent Indian citucns in these bordti villages, we Minister to have a stricter check on powerlooms and if these looms are have to take whatever measures are installed in bigger units, then those possible to guaid our borders and our units should be considered bigger citi'tns adequately and this has been units instead of smaller units done • Shri Hem Barua (Gauhati) May I I now turn to khandsari Much has know, Sir, whether the families of been said about khandsari m the those persons who were killed— House, and I also want to add my Munwar All—were paid compensation humbk suggestion m this regard or not, and whether those women who Some consideration should be given were molested and had to be sent to for lel.ef from this excise duty on hospital will receive any compensa khandsari. Khandsan is a growing tion? incentive among the growers of sugar cane m my State Further the sugar Shrimati IiaJrthml Menon: I want industry will also be affected by tfais. notice to answer those points If the duty is imposed just now on khandsari, the incentive will be taken j s 8j General Budgtt— MARCH General DUcwthm. j j g t [Kiri Runeshwar Tantia] There are sugar mills in cer octroi tax on tea which is already tain States but what about the sugar* having keen competition from the cane growers and what will be the foreign countries. situation of the sugar-cane growers? 1 may add here that although the Now, I come to a very vital ques extract of sugar from khandsari is not tion about jute. Before partition, we so big as in the case of sugar mills, were grow.ng 32 lakh bales of jute. the molasses from khandsari are eaten After partition, within these twelve by people and that is another ground years, we have had a big inducement for not imposing any cxcisc duty on and propaganda from the Ministry ot khandsari. Therefore, the duty impos Agriculture about the growing of lute. ed on khandsari may be reconsidered. In fact, our mesta production is 70 lakh bales, while the jute mills con sumption is only 63 lakh bales. This I now come to common tea. year, although the prices of other Although a small reduction of two commodities have gone up, the jute .n^vt> ^naiso .has iiccn granted in the jmces have .gone down to such a level export!) of tea, common tea is a which was not seen during the last 20 separate question from the other years. The members of the Bihar varieties of tea. Common tea is Legislative Assembly sent a memo grown also in East Africa, Indonesia, randum to the Prime Minister, as Ceylon and China By the export of well as some Members of Pailiament, tea we save foreign exchange of point.ng out the sad plight of jute Rs. J39 crores out ot our tola] foreign cultivators and traders The Minister exchange of Rs 600 crores. Out of of Commerce and Industry said that that, about Rs. 50 crores is from com there is enough export of jute. But mon tea. . If we do not save this 1 would say that there is nothing industry before time, we will not only much up till now. The jute prices, lose this big foreign exchange which instead of showing any upward ten we are earning, but. at the same time, dency. as the Minister of Commerce the economy of Assam tea gardens, and Industry sa.d, are just the sime and especially Cachar gardens, will be or even lower than they were before hit. Cachar is dependent on Ihe the last -six months. More jute should export of common tea I think three be- exported, and there are buyers or four days ago the Minister of Com fiom foreign countries like vVest Ger merce and Industry gave us the infor many, United Kingdom and IiaJy mation that 11 gardens aie affected. Lay-off has been effected and 17,000 labourers are out of employment Blit But there was a small duty imposed it is not only a question of 11 gaiden'i. sometime ago on jute which wa? to If this will be Ihe policy about ton, bf exported But that duty is still then probably all the 100 gardens or on paper, because there wore earlier at least hal^ of them will be closed. shipments of jute. That duly is «.till on paper. Therefore, if the Finance There is another aspect about the Minister will kindly clear up the common tea. There is a tax ot one matter and see that there will be no anna per pound levied by the Assam export duty, it will be good. It will Government as road tax on tea, that give relief to about 2 lakh workers is, the carriage lax. Again, the WeM and cultivators in the industry and Bengal Government imposes another bring the jute prices much higher. tax on tea—something like the octroi Further, say, during the next year, tax. I would request the Government the crop may be grown more exten to tell the State Ministries to take sively and we may earn Rs 4 lakhs away at least this road tax and the or more by way of foreign exchange through export of jute. $3*7 Ommmi PHALGUNA 30* OSAKA) General Dtterugion 5588 1 now come to the expenditure side a separate department for phwhriwg 1 am thankful to the Finance Minister if it is needed They can appoint a lor having reduced expenditure on separate Minister for that with a defence by Rs. 24 crores. But there separate portfolio, if it is needed is more scope for reduction on this account. But when there are other We were told yesterday by Acharya countries which are putting million* Knpalam that the civil expenditure and millions of money in defence for has gone up from Rs. 40 crores to rockets and so on, our expenditure is about Rs 222 crores within the last perhaps on building or buying second ten years I do not know wherefrom hand ships, as Shn Raghunath Singh he got this figure If these are the said the other day. The second-hand figures, they are too big The country .ships will not help the country. And needs economy On the one side, we there cannot be any global war just are putting a duty on khandsari, diesel now Again, for instance, Egypt oil and motor tyres On the other would have gone down in five or side, if we cannot save the biR expen seven days had it not been supported diture which is going on either in the by other powers I may suggest that military or in the civil departments, instead of effecting greatei reduction then, that will be a definitely bad pro in expenditure on defence we can put cedure We should see that more and that money in more endunng and more efforts should be taken to save good works. the rising expenditure on buildings, on big departments and the personnel in I would now like to sav a few words the Government on civil expenditure That i-, une thing which most of the hon Mem bers have criticised I would also say r to Tm for (*Tf[*TTPr) • that (he civil expenditure 1-. growing bigger and bigger The point is this srttpiT ern| There i» a giandfather m the family, s n r r a w s t it *tpt ^ say, and he wants mone\, 'ind he has ’nn & 1 n f f o i £( a big heart and toils hard In this, way, the Finance Ministei and the | fa srretr a t 3a ^ 57^ BTa-sfta f t i f l r ^ a ircvrr ar& % *rta»TT fa fo*ft a aarrf arm 1 ’aar ^ aaTfa % aan m fcare^aainCTfaW .atsTarrc % htsrt ^ jt^t ar aa 1 ara a? aarer % swrsr f w r ? t fciar aT%rr fa a? sn% 7^ l a t a ? a r a a?t$ s t v t t qft ?ftaa> 3* qr f»T%, aifr at % *Tfca?a VT a^t t I m r MTflH^THd *> %«p- a?rf «rtfa?a a$- 1 ?t*p a* *ftate sre f? ^ ’m ?t jfff % ^ft?r < p f k w ^ f v F m a t TOW fw W t, at 3*T TT f ^ T F WTTJn >pt v tf lftfafa *iit 11 ?a*ft « w $tat =5fTf?5t I A 3 rat a?? a ^fanr tt a^rra- ? 1 «rt ito ?ro ftw (^ij ?pra) *r% 3iT»t t f"P «a snrar ? t sra at iii^+T t t anj aa aa aar p # t g'T ^ T ^ f% a ? 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I A 5HT ¥ STT* A $S{ * ft ■Rip'll ^ fa wrsr qs *trt *f*ft ^5T •fit'll ■qifldl jf I q faqV M+lJ TT 511 f f ? q? qirr ^rrsr ?*r fat? qqr f f tft qjft WT?m I ?H *RT^fa A fa ffa a^t ^qf?T % farr t TPT s^t ?TWfT jT S*T q q?ft SRRt I faq qq sfr *ttvtt stpt faq 3rnr ^rffq w^ra sft q st* *t *Tq ?ft T?t «flr [ 4 ^ ^Tcr t?t «rr i *rrr *frft vr g^rr^r shht -fam % fr r h jit fatft s ir m q «ptt t v tm trw fti wann ^ i ^?npm •* 7?ip, trrr *n?pft f ?ft ^ 3rNY*r f w arnr % fV ^rfenp % v f* v * M t m 559S> General Budget— PHALGUNA 20,1880 (SAKA) General Discussion 5600 ttw u i star 1 sfa*r fawrat would like me to be honest in my observations «ft >ft *sm*r r*3(T 3TRT *rrf^ fa^rarr The Budget needs to be examined ^ T t ^ T T V T -STfTflTT t I t ' T from its micro-economic impact that ipi^r ^rrir $ ^ptt <*rar '^rr* u>, the impact of the taxes on house holds and firms as also its micro- economic impact Quite a large *TT "O’^fY %*TT + J ISfcri Atoka Mehta] it aought to be summed up, the last of those areas where we have got to sentence is come to grips with the somewhat "Investment activity, it would unwelcome developments that have appear, is levelling off in contrast taken place with the sharply ascending tiend Oui industrial development was » observed since 1955-56” head ahead of the world average two A|>art from the other specific observa or three years back The average of tions that have been made in the report the world was about 6 per cent includ about the sag* in investment, the fact ing good countries and bad countries remains (hat there is a tapering off Ours was 8 per cent We hava woe and that the whole trend j s in a cer fully fallen behind I thuik it is tain direction a direction which takes necessary to realise tha*, in the last it away from the one m winch we 10 or 15 years, in many parts of the had been moving during the earlier world, iriespectivc of what sv'tem period The net capital formation will one follows, whether it is a capitalist be lower in 1959-60 than in 195b 5Q as country oi a communist country, n a the Economic Classification has shown sense, thi ban it r has been pieiccd 1 on page 11 am sure the Tinance Minister’s atten The Fmancc Minister in his spi c eh tion has been drawn to a v (l v import as well as in the Economic Survey ant interview that was e, ven by M that accompanies his speech has talked Jean Mounet on the ret or l industrial about certain countervailing mca- growth m the European lorrmumty suies On page 14, foi ins»aniL 111 He has said that between 1948 and para 42, it is said 1957, in the six countries of the Euro “But to tht extent that the pean community, industrial expansion emergence of inflationary pres has bun to the tune of 97 pei cont— sures is unavoidable m tht com sc 97 per cent expansion m «i decade of implementation of development Comment ng upon it, the Londur> plans, thert is need for curbs and Economist said that this amount of countervailing action at various expansion m the six countries is points ” equivalent to that of tht previous Ht further on savs centurj and a half pul togetner This is what is happening m the capi •Prict stability and a vigilant talist part of the world watch on costs are thus essential as much on consideration-, of 13 hrs internal as of external 'inatico and viability ” L e t us take China In Chma, bet* A lot of criticism has b^cn 'miclc on tv ten 1950 and 1957, the gross nation this point here, because this House al product increased by 86 per ceni, and the country are not atisfi.d that that is, at the rate of 9 3 per cent per adequate measures are bong taken annum Conceding the fact that there to see that these countei vailing mi a was a considerable amount of slack sures are being adopted What has in the earlier period if we coniine our attention to the period 1953-57, the in been done, for instance to st»c that crease was 33 pei cent, or 7 per cent costs are kept under chiv Wh4t is a yeai Now a 9 per cent rate of the machinery’ You have said that growth not just mdustual production there have got to be certain curbs but a 9 per cent over-all rate of and countervailing action What pre growth m economy, has been achieved cisely are these curbs and countervail for nearly two decades by a number ing actions* It is on thesp point-* that, of countries, again irrespective of the I believe, c. more useful discussion particular system that they adopt 2 will be necessary not only at this am sure the Finance Minister know* stage, but later on, because ttns is one that such a rate was achieved by General Budget— PHAI/3UNA20, 1880 (SAKA) GeneralDiscussion 5604 Sweden, by Japan, by South Africa, your analytical tools may be able to by Kmuria both under the Czars ana provide to you. The result is that under the Communists, and by a num where growth gets stunted, mere as* ber of other countries. 'Why is it that m savings is bound to. in our country a start was made ana we have fallen back? There is great In India in 1957-58 the national in danger that lies ahead at this country, come declined by 2 per cent, but pub and the great danger is o t being lic reveneus drew into the Govern rningH in the trap of a low-level ment Exchequer one per cent more equilibrium. It is not realised thai from the national income. On the one the biggest danger that an agricul side there has been a decrease of 2 tural country faces, a country that is per cent m the national income; on engaged in the kind of agriculture, the other hand, revenues have gone up traditional agriculture to which we by one per cent I can very well are accustomed, is that there is the understand the strong reaction of our constant tendency for agricultural Members here because people are operations to get adjusted with the being caught in a kind of pincer, and increasing population to an equili it is this pincer movement that we brium at lower and lower levels. have got to escape and avoid. Only this morning, there was a meet Even in a totalitarian country like ing of the consultative committee China, there are many things from called by the Minister of Planning, which we can learn; there are many and we heard two contradictory things against which we must guard views There were those who said ourselves I refer to China not with that something should be done to find any kind of fanatical faith in it, as for work for our people who are under instance my very esteemed colleague employed in the villages; there were here, nor with any kind of blindness others who said where are the towards that great country. Even in workers ’ —we find there is a short a totalitarian country like China, age of labour I think these two where between 1950 and 1957 the things get reconciled when we realise share of consumption in the national that there is this constant and chronic product has gone down by 10 per cent, danger of reaching an equilibrium at and the gross domestic investment lower and lower levels That is one has increased from 9 per cent of the of the important difficulties, one of national product to 20 per cent, that the dangerous barriers that we have is, 11 per cent more of the national to pierce, and that would require a income is being channelled into in number of institutional changes. vestment and 10 per cent less is avail able for consumption, even there, this Whether co-operative farming is has been preceded by expanding the good or bad, I do not propose to go size of the cake. As I said, in a period into it at this juncture, but I would of ten years the gross national pro like to point out that these are not duce has been increased by 86 per issues which can be debated in a cent If you do not increase the size vacuum as is sought to be done These of the cake fast enough, and if you are questions which will have to be try to draw away a larger share for •discussed in the light of certain objec purposes of investment then, of tives we are placing before ourselves. course, all these difficulties arise, and If we want to develop not by throw therefore we have got to realise that ing the whole burden on the Treasury we cannot cut down our increasing 'Benches, nor by castigating one set of rate of investment because that means experts or another set of experts, we being pushed back into the mire of wijl have to find our way out Here, stagnation into which we dare not go. what is needed is a complete lucidity • in analysis, and willingness to follow The rest of the world is growing up up in action whatever conclusions fast. Our rate of development is onljr 390Ai LSD—5. J iijJ ■ ikniril Budget- ttAfiCH II, IS&9 Gerifttfl J9tteilMldi ' $ & * . Ifihri Asoka Mehta] before we got obsessed, and v & f ; a 4MrA of the rate China achieved rightly, with the problem of external between 1880 and 1957, leaving aside resources. But I believe from n aw on oilier country. We cannot lor politi our mam emphasis should be on thfr cal reasons, for military reasons, lor problem at internal resources. White seasons of national security, for the well-being of our people, stint on I would like to say something about development. In order to safeguard external resources, I would, however, fhe political philosophy and the politi like to make what I consider to be an cal institutions that we have created important point. In our country, must maintain a high When we drew up this Second Plan, rate of development, but a high rate we basically changed our conception of development demands as an inevit of the pattern of savings in the coun able and inescapable pre-condition try. In the pre-plan period the that over-all increase must take place monetised savings in the country were In national product. I will not labour approximately distributed equally this point, but I am labouring it just between the private sector and the for this reason that il needs a greater public sector. The distribution was amount of clarity than we have been flfty-fifty. In the First Plan we tried showing so far. to alter it to 52 in the public sector As far as employment is concerned, and 48 in the private sector. In the there again it is necessary for us to Second Plan our intention has been to find at least two lakh jobs a month if change it further to 61 per cent in the we are to provide employment to public sector and 39 per cent in the every one who will need it. If we private sector. Now, what are the im take the back log into consideration, plications of this? We all accepted the figure would be 2,50,000 a month. the Plan. What are the implication* Our rate of provision of employment of this change, this shift in the ratio Is about one lakh. What precisely are of distribution of monetised savings' we going to do here? in the country beween the one sector The third point that I would like to and the other? The consequences are- make in this conncction is that in an far-reaching, because in order to economy like this, the budget cannot achieve this, there is a fairly high or play a stabilising and neutralist role. fairly stiff rate of what is called the I am not saying that the budget has incremental rate of growth. As new played a stabilising and neutralising monetised savings come into the eco role, but I am just warning against nomy, 73 per cent of them have got any tendency to treat the budget in to be diverted to the public sector, if terms of a stabilising and neutralist this rate of 61-39 is to be achieved. fiscal policy, because that would spell It is 61-39 of the total growth, mone stagnation. To the extent that auto tised savings available in the eco nomous investments tend to become nomy. That is, if by labour I d » Knaller and smaller, it becomes the something, it is not monetised. Mone responsibility of the Government to tised savings are ultimately expressed induce larger and larger investment, or calculated in terms at money. ftiis leads us to the very difficult Seventy-three per cent of the fresh problem of resources. team that pours into these monetised savings will have to be diverted to I would like to remind the House, if the public sector. That is where this I may be permitted to do so, that in whole taxation policy comes up. We Ihe last speech that I made in the last say, do not tax. But we have a plan Parliament, Which you, Sir, were Wind the very foundation of which is that •hough to permit me to make, I had ovit of one 'hundred rupees at’ moneti Invited thf attention of the House ana sed savings that come up, Rs. 7S will |he country to the approaching prob- go into the public sector, and only of Internal resources. This was Rs. 27 will go into the private ae&Oc. 5 % PHAXXJUNA»,1«0(SA1CA) General Discussion 560! Where are then savings? Business- to our industrial undertakings where jped $iay ***** savin**; a cultivator in we have already invested over |o*y hive tone savings; the middle Rs 400 crores I know these indus tlass may have some savings I have trial undertakings are just coming up, conceded the point that where I am not blaming them, but the in flie gross national income keeps on come we have derived from them so fyiUng, you cannot increase your rate far is only Rs 1*25 crores, which is a of investment You And then that you rate of return of about four annas for are confronted by a very serious hundred rupees I know it is an un situation But I am trying to take the popular thing to say that, it is a thing discussion a stage further I am an which is likely to be misunderstood, xious that we try and understand that but you have got to see that there is when we decide to go in for a plann- an increasing profit margin in your tag of the kind that we have decided nublic undertakings, for, if you do upon, there are certain inescapable ~ot want to tax people, you must implications We cannot put ou- uce—which again is a question of of approval upon a certain plan and efficiency, which again is a question of then turn round and say that we are avoiding wastage—an Increased profit not willing to accept the consequences margin We cannot say that we shall that flow from it Either we have a have this public sector, but we want plan m which the bulk of the respon to see that we also milk them for the sibility of development is thrown purposes of immediate satisfaction of upon the private sector as a whole—I one section or the other of our people can understand that, whether that You have got to keep this tendency of would be a wise thing or not is a milking in check, if you are to work different matter—or we may not in on the basis of the Plan, if you are to this House over-whelmingly say that develop what is known as growth we stand for a socialist society, we perspective if ,rou are to provide to want that we should move forward m the country the growth, leadership the direction of a socialist reorganisa that the country asks for today in tion of our economy and then say that insistent terms we will not permit the inevitable con sequences of that, that a fairly stiff Aduurya Kripalani (Sitamarhi): percentage of the incremental savmgs Leadership is growing in years be channelled into the public sector This, to my mind, is runnmg with the Shri Asoka Mehta: May I be per hare and hunting with the hound I mitted to develop my point’ feel that this august House and this great nation of ours must be willing Acharya Kripalani* 1 am only say to face these difficulties realistically ing that leadership is growing in I am not pleading for one policy or years another but we cannot have the Shri Asoka Mehta: Last year, I had luxury of pursuing inconsistent ends raised the question of stagnation in Let us decide what our objectives are income-tax The Finance Minister and we must then be willing and be quoted a few figures and tried to show prepared to meet our people and say that I was wrong Agairf I have no that if these objectives are acceptable, desire, and I have not tried to score these are the inevitable means and any debating points with him, and I consequences that have to be adopted hope he also will not try to score debating points with me I say, here The second point that I would like is a fact, here is a tendency which we to make about internal resources is may ignore only at our peril The that in the last ten years the tax ordinary collection in 1957-59 was revenue has increased by 70 per cent, Rs. 155 5 crores; in 1958-59, it was but the net revenue from commercial Rs 152*4 crores, according to the re departments has remained stagnant vised estimates; and the budget esti 1 hope that this is not going to happen mate figure for 1959-60 is Rs 15S 9 5009 General Budget— MARCH 11, 19S9 General Discussion Jfoo . {Shri Asok* Mehta] crorw. What is the reason? It need* Shri Asoka Mehta: Then again, u to be gone into. My hon friends far as company taxation is concerned, Shri M. R. Masani and Shri Somani I would like to say that it & not and others might say—and Shri M. R clear to me what the Finance Minister Masani is very fond of quoting the intends to do Is he trying to simplify Law Minister; I do not know if he the structure, particularly, of com is here—that the diminishing returns pany taxes or is he trying to ration have set in; I do not know, if dimi alise it ’ nishing returns have set in, we should have the courage to revise the tax An Hon. Member: Both. structure. But if it is not so, we should find out what is wrong, where Shri Asoka Mehta: These are ans things are going wrong The prob wers which unfortunately I find it lem should not be disposed of, as the very difficult to understand, because Finance Minister tended to do last these two things are not the same. If year, by saying, the changes have you are simplifying then you do not been to the extent of Rs 2 to 3 crores want to bring about any structural more than you have said, because I alterations If you want to bring think the Finance Minister himself about structural alterations, that realises that this problem deserves our should be made clear The implica active consideration tions of some of the things that have been decided upon will result in far- As far as income ana corporation reaching structural alterations in the tax revenues are concerned it is in whole organisation of companies. teresting to find that between 1951 and 1957-58, the assessed income has An Hon. Member: Quite right. increased by 74 per cent, while the number of assesseec has gone down Shri Asoka Mehta: It is a good by 21' 5 per cent, the tax revenue has thing I have often advocated that increased by 36 per cent, and the per we do not want this kind of plenitude centage of assessed to national in of holding companies If we are come has increased by 40 per cent A going to straighten them out even little over 9 per cent of our national through fiscal measures, I think we income comes under the purview or should make these things clear I have the net of direct taxation Here, it called the Finance Minister’s speech seems obvious, because the corpora an honest speech, that he does not tion taxes are also included, that the want to keep anything up his sleeves; profit margin in the private sector has whatever cards there are up his increased very much Now, my com sleeves should be put on the table, se munist friends might draw any con that whatever we do is done in full clusion; the labourers might draw understanding any conclusion as to the extent to which this increased profit margin is Then, again, I find that 2,284 indivi being utilised for the purposes of dual assessees have an income of over well-planned investments. Whether Rs. 1 lakh or more per year; and through taxation in the public sector there are 229 individuals with a post or through planned development of tax income of Rs. 1 lakh These peo the private sector, these profits are ple are arguing that a man who has re-invested, it spells progress To the an income today of about Rs 5 lakhs, extent these profits are being allowed for instance, is taxed to the extent of to be frittered away in one form or 118 or 120 per cent including the in- the other, it is a woeful waste of the come-tax, super-tax and the wealth scarcest resources that we have in tax and the rest of it; and therefore, the country. they say that this is not fair. I would Just like to point out that it is true, Acharya Rripalanl: God save us. that if you look at it statically, these j6 n General Budget— PHALGUNA 20,1880 (SAKA) General DUcuuto* *6t2 people are being called upon to pay The last point that 1 want to make more thqn what they are earning is this. What does the situation de today, assuming that the taxes are mand? I agree with Adiarya Kripa- being honestly paid. lani that this is a crisis of faith. But that is a matter on which he alone can speak with the requisite assurance. 1 But I would like to point out—and can only say that without such a re the House should take into account surgence of faith, qi course it may not this fact—that simultaneously there is be possible to move in any direction. ■uch a thing as capital appreciation Acharya Kripalani has said that we frying place, and even if there is a should cut our coat according to our capital appreciation of 1} per cent per cloth The cloth in an under-deve- year, the man who is paying 120 per loped country is very small and your aent tax is not poorer but as well, if coat will not keep you from freezing. not richer than he was ever before. Hie cloth has to be increased. The In a developing economy, the most only way that you can increase your important thing is this capital appre cloth is, as he said, by resurgent faith. ciation that is taking place. And 3 And what is equally necessary, if not we are interested on the one hand, in more necessary, is willingness to work bringing about greater and greater out new modes and new methods of economic and social equality and, side organisation. Where we are failing, by side, m seeing that certain incen where we are stumbling, where we are tives are preserved so that people do preventing the growth of our country aot completely non-co-operate, I lies m the fact that we have not yet think the kind of tax structure that discovered a cement of organisation, has been evolved is sound and I hope various methods and techniques need and trust that the Finance Minister ed for that purpose. This is not the will not permit himself to be stamp time to go into it. But I hope and eded into altering it m any major trust that at least this particular direction. question will deserve and receive attention when we take up the De mands for Grants of other Ministries, I shall conclude my observations because it is not only wastage, it is with just touching two points. The not only inefficiency in production first point is this Every time the which will always be there, but if you question of excise duties comes up, have decentralised production, you this controversy comes between fac have got to introduce some kind of tory products, small scale industry centralised organisation to make it products and cottage industry pro efficient Where there is centralised ducts. We have talked about joint production, there is a built-in kind of production programmes. But here organisation. Decentralised produc again we have not worked out a con tion, therefore, makes a tremendous sistent philosophy Fiscal needs demand upon our organisation poten ehould not permit us to do anything tial and if we ignore that completely, which would in any way undermine if we throw the whole burtien upon the overall joint production philoso the Treasury Benches, I am afrqjfl we phy that we may have worked out I shall be throwing out the baby with would just say this, that our whole the bathwater. approach should be to see that a new product is added and not that a pro Shri Jatpal Singh (Ranchi West- duct is substituted. Substitution of Reserved-Sch. Tribes): I was very what is being produced in one sector pleased yesterday to find you echoing ° f our economy in another sector is my annual protest against the Trea »ot economic development. Product sury Benches. I have more than once addition, and not product substitution, called the attention of this House to has to be the whole approach. I shall tile failure of the hon. Minister of mot labour that point any further. Parliamentary Affairs to do his duty, 5613 ttaftfml Buftpet— MARCH 11, 19M General DiteuttUm 5614 tShri Jaljfld Singh] am very glad that, in my effort Shrl Jatpal Stagh: The hen. W*- J am confirmed by your own unfor ance Minister has rightly, in hfe tunately unavailing efforts. maiden appearance here, according ta the usual convention, been given Ho me, it seems very clear that bouquets right and left I personally witen there is a general discussion of feel that these bouquets are over* the general budget every Ministry burdening him So I would prefer tb should be properly represented in this toe the line of reducing his burden Bouse. We have a host of Ministers, I feel he has disappointed me la Deputy Ministers, Parliamentary many directions I had hoped Secretaries and the like I do not after coming to Delhi, he would have know what they are doing Whom am grown wiser as he grew in stature. 1 addressing myself to7 1 want to That has not happened, but I do still know that Well, 1 am addressing look forward to it happening My big now the Finance Minister through gest disappointment is in his hunt you But I find that every year this for new resources Where the resourc House is being treated with disrespect es are obvious, he runs away from After your blunt remarks yesterday, them I would have thought that he 1 had hoped that the Treasury Benches had forgotten that he was no longer would not have the impertinence to in Bombay where he enforced Pro continue to ignore this House on an hibition very unsuccessfully I know occasion like this that members of the ruling party like to believe that Prohibition has Mr. Speaker I would urge upon the been very successful Ministries to have at least their De puty Ministers here This is a general Shri M L Dwivedi (Hamiipur): discussion on the general budget So It is successful He is not aware Wf far as particular Ministries are con (hat cerned, the Minister concerned and a Minister from the Finance Ministiy Shri Jaipal Singh I want to tell may be here But regarding the my hon fntnd that I have visited general discussion, whom are the Bombay more than he has ever done Members addressing to 7 How can in his lifetime the Finance Minister with all his alertness take note of everything that Shri M L Dwivedi He is talking is passing? If it is said that they will about the vested interests But the read these reports later on they can real labourers have benefited from stay at home and we can also send in Pi ohibition written speeches! There u no jmeanmg in this It is not impressive Shri Jaipal Singh That is a matter at alL of opinion f We are setting a model for 14 other IS 28 h rs Assemblies in this country I am really [M r D e p u t y -S pe a k e r m th e Chatr] surprised that this kind of thing 11 happening How long em I to go on Let me assuie hon Members'"""af making such remarks’ I am not a this House and people outside that Schoolmaster here I am really sorry vested intei ests of course, support that this is falling on deaf ears There Prohibition because they make more tnust be same arrangement whereby money thereby I am not disputing at least all the junior Ministers should that But can my hon friends any b e here to* take note of things I do where, here or outside, deny the tact Hot know what work they are domg elsewhere. that Prohibi*ion not only in Boftibfty but everywhere elss has b an t f t s Q m t # ^A K A ) General Ducwulo* s6j6 failure? It has made honest men dis Mr. Depnty-Speaker: But drunken s e r t ness of either kinds would be ob jectionable X|t Wlnlrtwr of Finance <8hri M o n t# D e a l): I deny that Shri Jaipal Singh: I am a votary of free drinking, not of drunkenness. X Slut Jalpal Singh: I am certainly have had the pleasure of entertaining not suggesting for a moment that in many of my friends on the other •certain areas, in the textile areas, it side IMP not been a great bcton But by and large in the country, it has been Mr Depoty-Speaker. Order, order. g fatftire I can speak with authority Such disclosures ought not to be so far as the tribal areas are con made cerned Ministries after Ministries Shri Jalpal Singh: Mr Dtputy- have experimented with it and they Spe&ker, Sir, I have already stated liave had to withdraw Prohibition that I draw a distinction between drinking and drunkenness I think I Shri Morarjl Desal: May I say that would better drop the matter there It has succeeded most in the back But I do hope my hon fnend and ward areas m Bombay State 7 his colleagues will grow wiser as Some Hon. Members: No, no they grow older, and that is, that they are ruining honest men in the Mr. Depnty-Speaker. Order, order country by enforcing upon them Because there are so many differ things that are perhaps very nice, ences, there is greater need that we but for which the masses are not yet should discuss it calmly. ready I am all for temperance Edu cate them It may be a very good Shri Hynnlewt* (Autonomous Dis thing for people not to smoke But trict-Reserved—Sch Tribes) The do not tell me it is bad for me when statement cannot go unchallenged, I know it is good for me There are Sir far too many doers of good in this country Mr. Deputy-Speaker: It can be We have heard a great deal about challenged in some other way the Nagpur Resolution My hon friend Shri M R Masani spoke day Shri Jaipal Singh: Our friends live before yesterday He is elected by In a fool’s paradise Let them be ■the Jharkhand party from Ranchi indebted to their imagination for their East Let me assure the Prune Min facts, if that suits them, let them ister that Shri Masani has been to satisfy their own vanity But I am those areas more than Shn Jawahar very clear m my mind, Sir, I am not Lai Nehru has been there Cheap for drunkenness Hon Members will jibes do not help in strengthening the remember a speech I made at the argument on the other side Constituent Assembly There, I diew a distinction between drinking and Sir, I have an open mjnd If you drunkenness People can be drunk can convince me that cooperative with power That is what happening farming js going to increase food today What is happening today is, the production, I am prepared to go that present ruling party has been return way But my hon fnend here frtom ed to power with a minority vote of the Jharkand area, Dr Ram Subhag 43 per cent, but look at the language Singh pointed out ‘Who are the peo they dole out to us They say, they ple who are doing the talking’ ’ People had an overwhelming majority I who water, plough, and sow m the think this had better go home to the sand, not people who have actual ex ruling party because it is rather im perience either of agriculture as such portant n the present debate or of living among the peasantry 56*7 General Budget— MARCH 11,1859 General Discussion 5fifg. (fihrx Jaipal Singh] with you my opposition counts for Look at the Planning Commission nothing Don’t throw cheap Jibes a» 'When we had a debate on the reap though you are the only thinker in praisal of the Plan, I pointed out that this world it was not the Plan that has to be It is ebbut time, I think __I hope reappraised, but it was the planners I shall not be misunderstood—that who had to be reappraised That is we, all of us, people who are close much more important (An Hon. disciples of Gandhi] 1, and others who- Member Hear, Hear) There is a had no opportunity and privilege to body of men there They call them get anywhere near him, had a review selves agricultural experts Sir, who or a revision of Gandhian economics, is in charge of Agriculture, 1 would or, call it Gandhian philosophy, if you like to know What is his experience’ like In some directions we have al What is his experience his actual ex ready gone away from his example. perience, m regard to farming’ I For instance, he said Nobody should am prepared to listen but all that I get more than Rs 500 My friends say is this my friends on this side there are having a very good tune, invoke the achievements of Russia with more than Rs 500 I am all for and China and some other countries more and more But what I want to I went there but that was before they say is that the time has now come became Red I am not a Chinaman I when we have to be senbus about it. don’t want to be a Russian They may certainly be achieving things, but Take the question of excise It is what we have to bear in mind is this quite right that it was a token strug we are Indians When we framed the gle against an Imperialist power But, Constitution, we looked right round surely, first the whole idea was that the world, trying to pick and choose the poor man should get his salt at Can we say that our Constitution has « cheaper rate By removing your been working as the democratic prin excise duties what has happened* ciples are workmg in other countries’ The prices have gone up by four or Can we honestly say that’ The Con five times In what way have you stitution has to work according to our helped him’ I could go on like that, genius I would beg of the planners but as I said, I do not want to wand and the Ministers at the Centre and er about the realm of statistics the States to remember this Many things may look very nice on paper, I am disappointed, Sir, secondly, but you have to get the people along that my hon friend has not stream with you lined the administration I had hoped that, with his courage, he would have What happened in Bihar’ The Go got nd of many Ministries that are a vernment of Bihar thought that con fraud on our imagination One of them solidation bf holdings was an excel is the Ministry of Community Deve lent thing They tried it out in my lopment Sir, there again, my fnends constituency They had to withdraw and others may say "Yes, it is work it, as I pbmted out the other day ing beautifully” I would speak from If my friends on the other side my experience of my own area I am talking of the indigenous people want to commit political suicide in the tribal areas, it is an insanity on their there They had hoped that the Bri part If they want, let them indulge tish people had gone and that colonia in these things without proper think lism had vanished, but today we find ing I am not opposing them All that that a new type of colonialism is I have to say is this you must carry there A vast body tof outside work the people with you, be sure about it ers who do not know their language, Tou are dialing with certain human who have no sympathy with the peo ple, but for whom funds are provid beings 11 you can cany the people ed by the Centre and the States, are 56x9 OenertA Budget— PHALGUNA 20,1880 (SAXA) General Ducunum 5620- trying to do good to us. I travelled nce, Minister of Foreign Affairs, two years ago with the Chief Minis sometimes even as Prune Minister— ter o f Orissa to one of these projects I do not quite know what he is—but, We went to a tribal area and he at any rate, I have pointed out to- took me to a development block. I him and to his Colleagues instances was interested to see what was being that have come to my own personal done The idea of distraction was to knowledge where there has been give packs of very expensive impor inexplicable extravangence the Minis ted cards to the villagers I will just try of Defence holding on to requisi leave it at that I am very dear in tioned property which has been, my mind that development has to unoccupied by it for more than 10 take place tuo moto Admittedly, years continuously, going on paying there are areas where outsiders have rent as they like If the civilian to come in to assist the tribal people population wants these properties to to go ahead, but they must not be be derequistioned, my hon friend the strangers There you have people in Minister for Defence says, he cannot blocks, m extension service area and spare anything the like, who have no respect for the Go to Kanpur—my hon friend people there They look down on from Kanpur will tell you—go any them. They think that they have where you like, we do not grudge come there to lift them from some our Defence services having what mire as it were That is where our they want But this type of argument money is being wasted It is not that let nothing go whether it is being only that Ministry that I would like used or not used, it is immaterial, is to be scrapped There are many wrong Sir, you were m Ranchi other Ministries After all, there not long ago If you had only gone were five Executive Councillors when towards the Mental Hospital they ran the country before, and the (Laughter) country was then bigger than it is today Make it ten, if ytou like I Mr. Depnty-Speaker: Do people have no objection But to make it 50 go there voluntarily or are they led* is, to my mind, an astronomical way An Hon. Member: He is coming at doing things from there An Hon. Member* They are 94 Shri Jaipal Singh: Sir, I was not thinking about your going there as an Shri Jaipal Singh: I am disap incumbent I was thinking of the pointed that the defence budget has Kanke road at the end of which is been reduced I dare say I shall be the Mental Hospital Sir, it is the the only one voicing this type of biggest Mental hospital not only in opinion India but in Asia Sir, I have room- m my constituency for all mental Shri M L. Dwivedi: There have cases if you want to send them What been tethers db you find there to the nght, to the left During the emergency of the Shri Jaipal Singh: I am sorry that last war several houses were requisi this servicc which is the one which tioned Now, naturally, people want has shown all along consistently to go back to their houses They are signs of promise of Indian discipline, under the Ministry of Defence But should m any way be handicapped they are ntot derequisitioned The I do not say that the Ministry of Eastern Command has gone The Defence, therefore, should have no houses are no longer required Yet, ceiling whatever I feel that there my hon friend, Shri Krishna Men on- could have been other ways of econo says No, no you never know when my I have already pointed out to the emergency will be there It would the Minister, the present Minister, be easier for us to walk into then* who seems to be a Minister of Defe at any moment Never mind, let* Jfita fitaawwt MAIK^g U( p f a {■bad JfefeNd Singh] lsl$U and lakhs and lakhs be wasted to be hiUetted somewhere or otbgr* lb the meanwhile Thu is what u That is what is operating at the pre ftappenaxg I speak from personal sent moment experience There can be any amount Sir, I will aid up witli this ques (It economy, not merely in lakhs but in crores if this matter had been tion of production Coming to agri cultural production I would say that jpMperly gone into whoever could make two ears at com I have only two more points, Sir, or two blades of grass grow upon a because I know you are moved to be spot where only one grew before -indulgent to me today I think the would deserve better of mankind and 'biggest muddle in our thinking today would do more essential service to is the firm belief that the public the country than the whole race of sector can, without pursuing commer politicians put together, the whole cial principles, vie with the private race of plan-commissioners put to sector You put up a beautiful fac gether tory like the Bharat Electronics You have only to go there to discover for My last wt>rd is this I was shock, yourseil' iihn‘ a* Jh.“*Manjyuiy J liw - ed the day before yesterday during tor could be a free man not tied down Question Hour here when many hon. to flies—he must consult the hon Members were trying to elicit some Minister here if he has to increase information from the Minister of somebody’s salary, if he has got to Railways This question was asked sack somebody or other, with the in the other House also You were result that he is not a free producer— good enough to accommodate me If how it can work I am giving you our friends on that side are going to only one instance 1 can give ins take up this kind of attitude, then we tances all round the country, because are going to get into the reverse gear I have the privilege of doing a lot of What is the particular point 9 Some, travel with the Public Accounts body makes a complaint about certain Committee and otherwise also because supplies to the Railways The sup. of my own personal love of travel plies, before they are made are ins- I have gone round all these places pected by the Railway personnel— and seen how there is wastage because the technical personnel If they are of this public sector business not passed, they are not supplied. Anyway, because somebody asked a What happened in the Indian Air lines Corporation’ At the time of question—some red fnend from there, and they are very fond of asking She specific enactment we were told that the airlines would be run on questions and they think that anybody commercial principles One of them who has a factory must be put into Is being certainly run on commercial trouble—m the other House, immedi principles What about the other one 9 ately the Minister gets frightened What happened at Sindri’ You ap Quite nght I think he should take point a General Manager He goes proper notice of anything put up by sound the world to see the fertilizer any Member of Parliament, red, blue lactones By the time he is back at or whatever he is Immediately, what his job, you remove him to some- he does is he says I am making en irhere else quiries, police investigations Quite right Please do that But, sun id- We have to run away from the fact taneously, they have stopped supplies that just because so and so is an to this factory and 4,000 workers, Indian Civil Service man or something Adivasi workers, have been thrown ttke that, therefore, he is going to Out of work for the last 3 mnnth« ] lie an expert in everything We have know it for a fact that this is not the to build up fecia l cadres now There fault of the firm, this is the fault of feas to be a commercial cadre—not the Railway Board I can prove It. taoauae job-hunters and friends have Investigations are going on and still j 8*8 CMrtwoi JHkte*- FHAIXK7NAM, «*< ****> QcmtraiDiacuuion 5624 you can find what has to be done I am most confident of this particular fact Mr Deputy-$P4aker> Sir, 1 am per* ■anally not very interested in tackl After the complaint was made, the ing the tax question I congratulated iMrector General of Supplies and Dis- my fnend the other day after his pooal demanded that there should be Budget, I expressed my thanks to him ajoint inspection The joint inspection that at least as far as I was concern, also okayed it The original inspec ed, he did not touch me and Z thank tion also tikayed it, the Joint inspec him again tion of the DGS & D representative And the Railway Board also okayed Shri Thlnunala Rao (Kakinada): It In spite of that the Minister says Mr Deputy-Speaker, Sir, we have been here—he does not answer straight— listening to the speech of my hon. that they are awaiting the police in fnend, Shri Asoka Mehta, with some vestigation Why is investigation relief as it came from the Deputy called for’ To find out whose fault Leader or an important Member it is I ask my hon friend over there, of the P S P which was in some re if I make a complaint against them— freshing contrast to the speech Which I can easily do whether it is delivered by his leader yesterday. ngnt or "wrong—are ttiey going \o 1 vsl %la/L that nxy fnwid shri suspend themselves’ Are they going Asoka Mehta has tried to edu to Suspend the Railway Board* Why cate this House I congratulate him -do they not do that’ on his efforts He has greatly suc ceeded in carrying this House through As I pointed out during Question a maze of details and statistics which Hour yesterday, have we made a com have to be verified If one thing is plete volte face and run away frtun certain it is not possible to compare the Anglo-Indian system of jurispru the conditions obtaining in China dence where no one is guilty till he which is under a dictatorship and the is proved to be guilty* Have we gone conditions obtaining in Western Eu to the French side of saying that rope which have had their industrial everybody is guilty till he proves revolution a century agb Still they himself otherwise’ Is that the posi prove useful m a limited sense for tion’ planning The aim is to develop I ask my friends to take full cog this under-developed country as ra nizance of the illustrations I have pidly as possible The Budget pre given We all have to go ahead sented by the hon Finance Muuster There is no question of this party has been described as showing re or that party alism and cautious economic states manship by some The others have The Prime Minister has said that termed it as reactionary Budget which he would like the cooperation of every was prepared only to pamper the rich party But he has to be tested as to and the capitalist class in this coun what he means by cooperation, be try There are encomiums on the one cause, as I said earlier, that the ar side and criticism on the other I rogance that has set in the minds of think the Finance Minister as an ex 4S per cent the ruling party is some perienced Congressman who has had thing that does not quite attract us his roots in the freedom struggle of We are there all the time to assist this country, as the first Finance and be with them Personally, I ap. Minister recruited from these ranks, prove of it I think we have to get has shown commendable realism and on together I do not think that wis determination m presenting the Bud dom is one-sided I think better wis get and facing the criticism that arises dom might be on this side It is not out tof that Budget I do not want to ■whether this is worse or that is bet go into all the details of it But the ter or that is worse or this is better real distressing feature of our Budget It is only when we put it Ho the test, is that our industrial production has you are round the Table that fallen down by three per cent last 3635 General Budget- MARCH 11, 1959 General DUcwtion $6a 6 [Shri Thirumala Rao] year and another 2 9 per cent in the current year This is a matter of con price of essential commodities like cern food and cloth The import of food is a continuing phenomenon It » difficult to foresee when we will be The strain on foreign resources is self-sufficient in food In 1956, we due to the phenomenal fall in our ex had to import 3 5 million tons of ports It has to be looked at with a foodgrains and the cost of foodgrains careful eye Our export markets re imported from the beginning of the- ceived a rude shock with the simul Second Plan up till now comes to taneous demand on heavy machinery about Rs 208 crores entailing a dram and consumer goods in this country on our foreign exchange It may be- and this has creatcd a crisis in our argued that PL 480 will help us in foreign payments We are aware that meeting a portion of the rupees to be* all the commodities likt jute, cotton, spent on the development plans m oil, oil-seeds, cashew, manganese, mica the country When the Second Plan and iron ore, spices, tea and coffee was finalised, it was not foreseen that are all in private s>cctor and so are the agncultuie production should be manufactured goods like textiles the main base demanding the first The Government of India has to earn priority It is agreed that four per foreign exchange, it has to depend cent increase in production is being mostly on the private scctor and steadily registered but the Plan targets, there is very little from the public are not to be realised at the end of the sector from which they can earn Second Plan Unfavourable seasons foreign exchange Therefore there last year had resulted in short-fall should be whole-hearted co-operation which has increased our need for fur between the two sectors for this and ther imports It has always been the export market has to be revived the aim to attain self-sufficiency m again and our foreign exchange posi food but I am sorry the target has. tion has to be retrieved From that proved elusive In view of the mount point of view, I think the Commerce ing needs of the population, it was Mmister deserves some commendation estimated in 1956, at the beginning of at the heroic efforts he has been mak the plan that an additional production ing m order to give all the incentives of ten million tons should be aimed at and help necessary for reviving by the end of the Plan period, 1960-61 foreign markets for our goods Today But m the meantime, there was a furth we have heard that the gap in foreign er appraisal of the situation and the earnings has fallen down by another Planning Commission has demanded of Rs 25 crores and the total net deficit the States to provide another extra of our foreign holdings is about five million tons and asked them to Rs 189 crores With the assistance enhance the target to 15 million tons that has been generously offered from during the Plan period When the Several countries like USA Japan, Foodgrains Enquiry Committee was Germany, United Kingdom and USSR appointed and when it went about and we have be&n able to tide over the had a heart to heart talk with the foreign resources crisis in the Second State Governments, they were inclined Plan I do not want to deal more with to take them into confidence and It because there would not be enough point it to them that the Planning fame Commission’s target of 15 million tons could not be reached by the end o f the Second Plan and only ten million Now, it has been mentioned rightly tons could be reached. According to that our food position is the base on the reports revealed by the Govern which our PJan mainly rests The ment of India m the Food Ministry, price and wage structures mostly de it now seems that they do not expect pend on the cost of living and the more than tea million tons by the endt 5627 Budget— FHALGUNA20,1880 {SAKA) General Discussion 5628 of tiie Second Plan. There is no use 20 acres are brought under plough planning like this, according to the When I look at the amount of money wishes and not according to the rea that is spent and the amount of actual lities of the situation land that is brought under cultivation, According to the figures given by the proportion seems to me to be very the Food Minister, it has been esti alarming mated that the major irrigation pro 14 hrs jects would contribute to an additional three million tons and mmor irriga It was estimated that major irriga tion projects to about 1 9 million tons, tion would account for an additional fertilisers and manures 3 8 million three million tons I do not know tons, improved seeds, 3 4 million tons, how much of foodgrains is produced land reclamation and development, on account of the new area that has *9 million tons and improved agricul been brought under cultivation tural practices, 2 5 million tons It is difficult to assess even roughly how With regard to fertilisers, this is a far these detailed targets could be great disappointment and mis-calcula- achieved The low acreage that has tion on the part of the planners come under the major irrigation Every part of the country is demand schemes is something like an eye- ing fertilisers to increase food produc opener Planning for all the antece tion But it was given a go-by A dents and auxiliary measures required thorough investigation has to be made to fully utilise the water made avail as to the bottle-necks in the way of able under the major irrigation increasing agricultural production and schemes have not been simultaneously find out how far the Plan expenditure mapped out With regard to the seed is contributing to the increase m pro farms the progress made by the State duction It should also be thoroughly Governments is very disappointing I gone into as to the causes of low am constrained to say that the plan utilisation of the irrigation potential ners have given inadequate attention crcated to the need of fertilisers every time there was demand for them from the About fertilisers, I would like to agriculture Ministry make a suggestion This year we I shall first deal with the major irri have to import about 3 5 million tons gation schemes statewisc under the of foodgrains Along with foodgrains, several heads mentioned by me and will it not be possible for Government the total acereage brought under culti to arrange for import of fertilisers vation By all the schemes m the also under PL 480’ Th<*y can very various States, it was estimated that well negotiate with USA for permis nearly 9 million acres would come sion to utilise the money that is being under the plough But the returns now spent on local development for from all the States except from Punjab import of fertilisers A part of it can for the Bhakra-Nangal project, have be utilised this year and with that been disappointing In Andhra only additional production of foodgrains we 1 93 lakhs have come under irriga can reduce the imports from outside tion for of the 19 completed projects The money thus saved can again be In Bihar only 2 41 lakhs have come invested for importing more fertilisers under irrigation, In Bombay the figure is 1 07 lakhs, in Kerala 0 18, With regard to import of food also, in Madhya Pradesh, 2 76 lakhs, in I do not see any prospect of improv Madras 1 28 lakhs of acres, in Punjab ing our production to meet the re 18 55; and in Rajasthan 11 49 There quired demands There are now 7i fore, the money spent on these big pro crores of urban population who depend jects is about Rs 600 to Rs 700 crores on the rural areas for production of It is said by experts that for every food Assuming that ojjr imported 100 acres of irrigation potential that foodgrains of S 5 million tons are con is created under a five year period only sumed by this population from the ClMwral Sadoat— 1SABCH11,1989 Qtnmt* IMic u r tw f { M fld n m a h Rao] wriban areas that comes to 4*7 ounces nery that at present exists. per day. Computing 14 ounces of of taking over the whole oiachinprjr foodgrains per day as average con of storing, buying and distribution, it sumption per capita, the rural popu is better if Government starts with the- lation of 310 million have to supply first phase and see how far it works. food, after feeding themselves at die Instead of having several hundred rate of 14 ounces per head per day, crores of capital in their hands, for of about 9 ounces per day per head buying the foodgrains in the wholesale for the urban population. The shift markets, storing them in proper shed* of population is now again largely and then distributing them, the work towards towns. We have also to uti of distribution must be allowed to be lise a certain amount of the cost of run by private hands. In that case a foodgrains, as I told you, towards im large number of people who are al proving the food production. ready having their employment in that line will not be thrown out of em It is said that every rupee worth ployment, and the scheme will not of fertiliser that is used on land will create any hardship to the ordinary create an economic potential equal to people who live by retail trade. 2J times that amount by producing ancillary industries that are involved With regard to taxes, Sir, I welcome in the production of food and improve the reduction in the military expendi ment of agriculture. That has also ture. It admits of more reduction, I to be gone into, and a substantial believe, because, after all, military amount of money has to be invested strategy has been changing, the pattern on both import of fertilisers and also manufacture of fertilisers. of defence forces in countries has been undergoing a radical change after The Food Minister has told the other the possession of secret and nuclear House that Government are arrang weapons by Russia and America, and ing for irrigation facilities and also for also United Kingdom and other coun bringing into existenre a number of tries. The use of conventional arms fertilizer factories by the end of the and weapons has been largely reduced. Second Plan. The one factory about Their importance has been altered. which we hear is the Bhakra Nangal However much we may spend on our Fertiliser Factory. The others do not defence forces, we will not be able to seem to have made much progress, and have any parity or any comparison it will be some time before they can with the big nations, the big powers • be brought into existence. that control the destiny of the world. Viewed from that point of view, we The matter of controlling food prices have to note that any amount of has been given wide publicity. It defence expenditure is not going to has been said that the Government are give us a status equal to those big entering into foodgrains trade by orga nations. The necessity of defence ex nising a State Trading Corporation. penditure for us is to keep our neigh But the advance information that has bours in good behaviour and also to been given and the propaganda that organise internal law and order, in has been done on its behalf without case there is any rebellion or some the proper machinery and arrange thing of that sort. ment for bringing into operation this scheme quickly has created a sort of Then, Sir, having known a bit of scare among the people. The middle- expenditure on the defence side, I feel rn«-> «tarted hoarding foodgrains and that there is a lot of wasteful ex artificially raising the prices of food- penditure in that department which gfainp. Silt it not an easy matter can be usefully investigated and plug *0 organising state trading in food ged. That will give us a saving at, grains. It cannot do it with the machi some more nvm^r fg g t a tmm a JMdg+t m AiaaH An, tm OSAKA) Gmtrai Division W lb regard to the tax an khandsan, people of the country. Road transport that hH to be fexammed more etfe* is going to develop in the private sec &Hy Tfe« pattern of our taxation is tor to such an extent to carry goods bound to change As our import* are and passengers that it is not merely dwindling, our custom! duties are a service but a great industry. For bound to dwindle To make up tor in my district, for instance, with a the loss on customs duties, We will population of 23 lakhs, there is only have to introduce excise duties, and a stretch of 80 miles of railway The the burden of internal resources ha* rest is covered by road transport, and to be borne by the masses Excise the people there depend upon roads for dut es are inevitable But khandsan transport* You cannot penalize them « a cottage industry I feel that for by increasing the rate of diesel oil and filling up, partially, the deficit in the motor tyres Finance Minister’s Budget, he can safely look to minimising the expendi ture on civil side, on the administra With regard to diesel engines, if we tion side He Bhould leave the cottage go and see in the several dry areas of industries alone If there is any the South, you will realize that large mechanisation m that industry, if quantities of foodgrams are grown by machinery is used there, then you can utilizing the diesel engines Diesei include them As long as it remains engine is used for well irrigation* as a cottage industry it should not be sugarcane is grown by well irrigation touched Foodgrams are grown by well irriga tion There is always a great On account of incoherent and un demand for diesel engines from the planned development of sugar industry Agriculture Departments of the State m this country khandsan has deve Governments, and there is no point in loped side by side with sugar indus imposing this tax on the poor agricul try m U P , Bihar and other places turists who are helping you to produce The competition that is now feared more food After all how much defi by sugar factories from the khandsan cit has been met by imposing these industry has come on account of lack taxes on the poor people who number of proper organisation and planning on 30 crores7 What is the deficit you the part of Government Now, it is want to meet in a budget of Rs 800 for Government to see that the bigger crores9 You can easily scrap this industry will not swallow up the revenue of about Rs 30 crores through smaller industry If there should be the imposition of these taxes out of a any planning for the location of the total deficit of Rs 80 crores, by exer sugar factories hereafter, they should cising greater vigilance on the expen- see that there is no competition be diture m defence and m the adminis tween the khandsan industry and the trative field Only then you will be sugar factories for meeting the re earning the gratitude of the people quirements of sugarcane With regard to the tax on motor Shri Jamal Khwaja (Aligarh) Mr tyres and diesel oil, that also works Deputy-Speaker, Sir, as > am a stu liard on the middle-classes For the dent of social philosophy and human sins of commission and omission of the nature rather than of public finance railways which have got a budget of and fiscal policies I feel that the best 'ft'bout Rs 700 crores, with an impos way m which 1 can contribute to the ing array of officials in the Railway proceedings of this distinguished Board—their plans have all gone House is to dwell on the philosophical Wrong and their estimates have fallen and ideological aspects of the budget ttwrt—and 'for -the losses which they rather than on the details of the taxa -sustained, it is not fair for the Fin- tion structure or on the ^various poli ’Mhce Minister to come to their rescue cies that have been formulated and %&d impose this burden on the poorer on the taxes levied GtMnxi Budget— MARCH 11, 1159 Ganeral JXtaiimMa 5634 {Shn Jamal Khawaja ] dence in all dynamic thinking. But T he ideological aspect, as everyone all rigid and closed minds suppose that would readily grant, is very important there are these two “isms” and that V e who belong to this side of the they can be applied to the concrete House frequently hear from the Com facts of society, for economic develop munists and the Socialists, from these ment, etc, in an exclusive way. parties, that the Government suffers £rotm a lack of ideological clarity and It is well known that the capitalism cohesion and that we are confused as of America, for example, is not the to what the basic policy or the funda classical capitalism. It is neo-capital mental policy and the basic approach ism If you see the private sector and are or should be I think that this is the public sector, it is a fact that in not correct The Congress party and America a far greater percentage of the Government follow a specific ideo production is m the public sector than logy and approach but it is not a rigid is the case in a country like ours -approach or a text-book approach where we definitely adhere to the Although it is said by us that we are socialist pattern of society So thing* following the socialistic pattern of have changed The Prime Minister society and socialism yet I honestly repeatedly, and everywhere, he feel that it is not just socialism or goes not only as the Prime Minister just any “ism” If any word is need but as the great ideological leader, ed to coin that ‘ ism I would like to propounds this and lays emphasis on coin a new word and call it ‘balanc- this But it is a matter of regret that ism’ That is how I feel It is a very our young men and our thinkers do “unconventional word, but I think one not appreciate and cannot appreciate should not be averse to coming m w the significance of what he asserts or words Of course, the more popular what all thinking men, apart from the expression is mixed economy or what Marxian intelligensia, are thinking I ever you might like to call it How refer to the German sociologists like ever I think the word ‘balancism’ Karl Mannheim and Max Weber and spotlights the character and the nature others who were the intellectual heir* of the basic feature the ideology and to Marxian philosophy We do not the philosophy which we follow know how the sociological theory has developed in Germany So, I wish to point out that emphasis An the mixed economy and the fusion of these two It is a pity that we do not under th in gs have come to say in the mo stand and grasp the dynamics of think dern world ing and how the various concepts in all fields of human knowledge have The basic question which is con been developed There was a time fronting thinking men and the ‘theo in the 19th ccntury when there was a reticians’ today is the question of the dichotomy between matter and energy balance of power, the question of These wera the two basic conccpts of power the diffusion of power in an physical science Yet, as scicnce deve optimum way If power is concen loped this dichotomy was overcome trated either in the hands of the State and we saw the fusion of these two or the individual, it leads to certain ■concepts Matter was reducible to difficulties The Communists may not energy and energy was reducible to be aware of it or others who are doc matter Similarly, I maintain that in trinaire socialists may not be aware this atomic age, in this modem age, <>f it, but these things are engaging the dichotomy and the contradiction the attention of serious philosopher* between rigid socialism on the one «11 social philosophers and sociologists. Itand and n £id capitalism on the other If the State becomes omnipotent tond have disappeared It is in evi powerful, then there is danger. Om 5&J5 CUnerol Budget— PHALGUNA20,1880 (SAKA) General Ditcuttion 5636 the other hand, if the individual, whe certaji matters, we have not been able ther he be the capitalist or the indus to nationalise banks, etc On the trialist, becomes too powerful, then other hand, there are people who say also there is danger If the State that we are going too fast One hears becomes too powerful, there is the all sorts of tilings The very fact that danger of individual liberty being both these criticisms are made against challenged If the entrepreneur, the Government shows that the Govern big businessmen, the industrialist, gets ment is following the pokey of the too powerful, there is the danger of golden mean This is the best proof that social discipline being destroyed It the Government is following a middle- might lead to chaos So, the crux of path In this connection, I would like the problem today, in this age, is not to point out that it has been establish whether there should be capitalism or ed beyond doubt that in the modem socialism or private sector or public age, it is not ownership of an industry, sector, but how power should be dif the means of production or the banks fused in an optimum way, because, which founts It is the power to con here also there is difficulty If there trol and regulate which is the real is too much diffusion of power, then thing If Government is in a position there is no possibility of controlling to regulate and control the activities and moulding the economic processes of the banks or other institutions, how of the country If everybody works ever large they might be, mere own m his own way and builds his own ership becomes insignificant and suj>> little house, there is no possibility of erfluous moulding things, changing things ac cording to a specific ideal On the Here I may draw an analogy be other hand, if power is too much con tween the so-callcd modern form of centrated, there is the other danger imperialism as compared to the old which I have referred to So, it is wrong form of imperialism which was called to say that the Government has no co omali'.m It has been amply shown clear-cut policy, that they arc divided that political domination over a coun in the Cabinet, that one member of try is not necessary, provided the eco the Cabinet pulls m one way and the nomy of the country can be controlled other in the opposite way, that there Sum arly nationalisation of banks or is tussle between the public sector and of am other institutions for the sake the* private sector nt nationalisation is useless The real thing is whether the Government has In all honesty I feel that the Gov < ffecti\ c and full control If the con ernment is following a consistent trol is there, Government can safe policy and that is the policy of balanc- guard the national interests and there lsm, or I may call it economic dualism will be no question of anvone over- or parallelism I feel that there is no whe’ming anybody else I do not question of any conflict between the believe in any sector overwhelming private sector and the public scctor any other sector, let there be true co They are to my way of thinking, the operation between the two That two eyes of our country, of the bride would be m the best interests of the of India, if any eye is destroyed or country damaged, the beauty of the bride would suffer If we do not think in this way and if we speak, as one of After this ideological exposition, I the Members said yesterday, as if would like to make an analysis of the there is a cold war, I feel that is a basic policy approach which, to my very mistaken attitude mmd, the Government is following I would define the basic policy approach Reference was made to the fact that of the Government as multi-dimen- we are going too slow in regard to sional as opposed to the mono-dimen sional approach The multi-dimen- 3*0 fAi) LSD-6 sional approach, as I define it, takes faff G— ml B*4oet~ MARCH 11, General Discoarim 563S tphd Jamal Khwaja] drive is necessary. Equally important into account the totality of the dimen- akon of progress, where progress in all are the spheres of administration and dimensions is sought in a constant way. judiciary. The report of the Law Commission has just been published On the other hand, the mono-dimen- stanal approach means exclusive con and it has highlighted the arrears in the judiciary and the other difficulties centration upon certain features to the exclusion of the others. Here again, and complexities of the situation. So, I may give an analogy m the sphere hare also a mono-dimensional approach of psychology We have the whole ta lessen the number of arrears and method and the part method The to reduce the administrative delays at whole method consists of learning all costs would have yielded better material as a whole and the part results method consists of concentrating selected parts. Now it has been prov This brings me to the heart of my ed beyond doubt that the whole speech. method is superior to the part method in the long run Mr Deputy-Speaker: The heart has come very late 1 hold that in political economy, in politics in general, the multi-dimen- Shrl Jamal Khwaja: In a sense, the sional approach is likewise superior to heart a ways beat; the mono-dimensional approach Here also, there will be no clear-cut dis Mr. Deputjr-Speaker: But not at tinction, it is a question of emphasis the end; the heart should beat from While we have been following the the beginning and not at the end. irtultt-dimensional approach, Russia and China have followed in many res pects the mono-dimensional approach Shri Jamal Khwaja: It has been They have selected certain targets or besting from the beginning, but now certain immediate ends and they have t might beat a bit faster made an all-Out effort to reach those ends, whether it is food production or That point which I want to empha heavy industry, and that has produced sise is that wc are all very anxious results no doubt. But I feel that basic and eager for the rapid industrialisa ally our approach is superior to tion of country It reflects the tempo theirs, although m view ol the tempo of the age. the atomic age. So, there of the age and a number of other fac arc very great stresses on develop tors, there is ample room, according mental and productive expenditure to my way of thinking, for follcwrig and we feel shy towards any increase the mono-dimensional approach in a in non-productive expenditure. Cer number of things, especially, for exam tainly this is correct and it should be ple, m increasing food production I so; yet, we should not forget the basic need not labour on this point, it is so fact that the welfare State logically axiomatic. While the general multi pre-supposes the police State There dimensional approach that we have cannot be a welfare State, and the been following is correct, in these mat functions of a welfare State cannot be ters much more results would have performed effectively if it is not sup come if the mono-dimensional ported by a strong police state, where approach had been followed and con the functions of the police State are centrated efforts had been made in adequately performed— 1 mean general these directions law and order, sound administration, sound judiciary and so on. And this Another,, such field is the field of is my reasoned conviction that in our training of co-operative personnel. eagerness and in our zeal for Die quick Han also, a very intense concentrated development these asnecta hiv* taean 5639 OcnMit Stott**"1- PftALCrtfltA^liWtiAKA) 5640 ignored. I do not blame the Govern to go into the Spifthkkal situttUM ment, I do hot tntieise the Govern Therefore, I shall content myself with ment Lftrge suRts of money are feeing the simple remark where we have spent on these productive enterprises declined is the spiritual, the subjec and, therefore, it is inevitable tive, the imponderable aspect Quan titatively we have improved, there is Here every now and then there is a no doubt, barring the shortfall in agri cry in this House against the mounting cultural production or the slowing civil expenditure There is a cry for down of the rate of production in the economy But I want to submit that ast two years in the industrial field th s is a very important matter Eco But, as I have said, we will overcome nomy at the expense of efficiency will all these difficulties I need not go not do Economy is certainjy neces into the analysis But, as far as the sary, but efficiency is also necessary spiritual situation goes, there we have And if we in this House grudge this dacl ned I refer to the qualitative expenditure every now and then, the d rime in our standards m all spheres Government will not be in a position of life, whether it be judiciary, whe to perform the po ice function which ther it be public life, whether it be constitutes the base and without which our educational institutions, whatever no welfare State can function properly they might be Again, it is useless to and no development can take place complain or criticise the Government There is a thing like socio-economic Though there are a number of things causation and sociological determina to which I wanted to refer, for want tion, and no matter who the personnel of time I shall conclude I wanted of the Government might be, no mat to speak about the totality of the situ ter who do form the government, ation as it prevails in the country the operation of these objective laws, today As far as the economic situ these social laws would have their ation goes it has already been brought effect out by a number of speakers, but best of all, 1 think, by the Economic Therefore, I do not wish to criticise Survey I feel I must congratulate or condemn the Government But I the M mster and the Ministry, but would certainly like to draw the atten most of all those officials who have tion of the House and of the country contributed to the preparation of that to this important thing I would say economic survej It is a noble docu that the only solution for arresting ment, impartial, fair and objective this decline lies m the sphere of edu- And I can say that a government catian Therefore, while we should which is capable of bringing out such not grudge any additional expenditure an impartial and objective document is that m>ght accrue as a result of main- a responsible government and so I t lining a sound and efficient adminis have full faith and confidence in its tration, so should we not grudge any ability to deliver the goods and to additional expenditure that might be lead the country forward necessary for raising the educational standards t shall conclude by saying that the other aspect of the total situation to Sir. ttopaty-Speaker: 'ftie hon which I wanted to draw the attention Member should conclude of the House was the spiritual situa tion I do not use the word “spiritual" Shri Jamal Kbwaja: I will finish in the sense in which we use it, I w thm half a minute use it in the sense of Getstige situation der Zext, the famous book written by The most significantly arresting fea the famobs German philosopher Karl ture of this spiritual development is Jasper juH before the Naas came to the spirit of commercialism*which pre power. But fHert is net time for ate v a il ih (S u l Jamal Khwaja] of concessions to the big business at employees. As far as the officers and the cost of small investors and consu others go, I have no complaint to mers Concession is granted on many make. I have no statistics to give but taxation proposals o l the previous anyone can go and see for himself the years under the guise of simplification. q>irit of commercialism which prevails If a company had to pay a tax, the in the offices, and nothing can be done shareholder was previously getting a unless you put a brake to it You rebate from out of the grossed amount' may call it bribery That corrodes and Now this small shareholder is not get poisons the atmosphere with the result ting the benefit of refund but the com that moral capital is not forthcoming pany is getting the benefit of a lower for the implementation of the Plan taxation That has to be stopped and moral capital has to come, where lies the remedy for this Then again, coming to the wealth tax on companies, on paragraph 70 it is stated Apart from the improvement in the standards of education, there is another factor, and that is the human touch at “This rate will secure the same all levels and the formulation of a revenue as its at present derived code of conduct, not only for the offi fiom the taxes on the wealth and cers but also for all public men and profits of companies and I propose, politicians There should be a gentle therefore, to abolish the Wealth man’s agreement by all political parties Tax on companies and the Excess that that code of conduct would be Dividends Tax ” followed and the ruling party should take the initiative and lead in this matter It has been argued that it is compen sated and though a concession is grant ed the money is collected otherwise. Mr. Deputy-Speaker: I now call on If sonubody is benefited, somebody is Shri Thanu Pillai Then I will call paying more Who is the person? Shri Shibbanlal Saksena As our Then, this wealth tax, if it is included friend has said, we ought to conform 111 this super-tax and the company tax, to some code of conduct here also. If where was the necessity for increasing the hon. Members from this side also the late o f taxation of individual desire to take so long as the Opposi wealth fiom i per cent to 1 per cent., tion Members, then there would be I per cent, to 14 per cent and from very little chance of exhausting the II per cent to 2 per cent.? If company list of Members that has been supplied tix relief was intended to give relief to me Therefore, whoever might bp from double taxation possibilities, let on his legs, at least on the second bell us take courage and say that we have he has to sit down. I allowed the revalued our approach to the econo- previous speaker to conclude his sen m c problem and structure of taxation tence. But then he took up a new and we are giving this. It has not subject. Sometimes “in conclusion” been explicitly said as to why these comes 3 or 4 times. That creates cer concessions are bemg granted. Let us tain difficulties. So, I request all hon oue what the previous Finance Minis Members to see that when the firs* ter said when he levied this tax. He bell is rung they ought to come to the said. finishing touches and conclude when the bell is rung a second time “The net effect of the proposal to increase the income-tax on Companies will, therefore, not be very significant. It will to some Shri Tfaann Pillai (Tirunelveli): extent help us to check tax eva The budget proposals have given a lot sion " 5643 Gene*it Budget— ]PHALGUNA20,1880 (SAKA) General Discussion 5644 That is, in the new taxation proposals ation has to be resorted to which were then evolved of levying Here, when companies are given con a .company tax and increased Corpora cessions and they enjoy preference, tion tax on companies giving relief to this indirect taxation on commodities the individual, it was argued by the which are used mainly by the poor then Finance Minister that it will help people—not rich people—does not to check evasion of tax. On wealth create a good psychology. I am afraid tax on companies also, he said: it create? a bad psychology that the proposals are to help big business and “In the case of Companies, there not to give any aid to the consumer will be no tax on assets up to a or ihe small investor. Tax on excess value of Rs 5 lakhs; on values dividends has been abolished If there beyond that the rate will be i p*r had been a check on excess dividends, cent. The Wealth Tax is intend thete would not be incentive for more ed ptimanly at> a measure of per and more profits and the consumer may sonal taxation but in the peculiar sometimes get commodities at a lesser economic structure of India I con price It is very difficult because there sider it advisable not to exclude are other ways of selling at higher Companies from the purview of prices and still suppressing the profits. this tax. However, the rate of tax But, there is a slight likelihood of the has to be low. That is why I have prices not shooting up. This free lance proposed a flat rate of only i per dividend for these companies, I am cent, on assets above the exemp afraid, wul have a bad effect on the tion limit I have just mentioned.” market value of commodities. It may not effect the people who are drawing This also he said *hat there is check big salaries and people employed in on tax evasion If the policy of com- the public sector or the private sector piehensive taxation proposals of or the organised sector, getting Rs. S Wealth tax, Expenditure tax, Gifts or 10 for every threat. If may not tax, Estate duty, including Income-tax plTict ihcm But, the middle classes, excess dividends were intended for the poor lower middle classes, and the checking certain tendencies in the self-employed people are definitely hit. people, have the conditions charged KhnncLari, sugar or diesel oil—these or has our thinking changed? Let us are things which the poor people take be dear in our mind. Let us have a and they are affected bv these taxes. bold and courageous approach to it Even regarding other proposals like If the taxation proposals, the Wealth edible oils and art silk sari, people who tax and other taxes have been wrong, cannot go in for silk saris, go in for if we have gone on a wrong path, let art silk sans. It is necessarily the us retrace our steos and come back poor people who go in for this. We boldly and not say, there has neen have levied a tax on poor people even some fiction in calculation. In several on cigarettes It is not the luxury of places in the explanatory memorandum a rich man Even poor people smoke it is said, legal fiction is being remov cigarettes. It is the only luxury left ed and therefore these concessions are for the poor people1 cigarette and bidi given. Let us not think fictitiously in That also is taxed these matters; let us be realistic. I have no objection to giving conces sions. But the reason for giving the An Hon. Member: Not bidis. concessions should be very clear. Let us consider the cffect of this Shri Thanu Filial: My hon. friend taxation, on the psychology of the pub is not a smoker and he does not know. lic. Indirect taxation, we never grade. On all these taxes, ric we have any In a socialistic pattern of society, check? where direct taxation is bound to dwindle when the accumulation The Finance Minister, in his speech, of wealth dwindles, indirect tax said about price stability and yigilant 5&4S $«tttra{ fcudflet— MARCH n t General tHscussta* 5f4^ [Shri Thanu Pillai] watch op costs for exports and other limit* One State Government says, Kttfppses. There should be price sta it u Rs 3.800 Another Government bility Is there going to be price cta- says, Rs 5,000 Therefore, it has upset hihty for the consumer? We are forc the mind of many agriculturists who ed to pay higher prices for every com were producing a large quantity of modity, fpr foodgrams etc When we foodgrams at a very high level of ask questions, the hon Minister says production The Average production that the increase is not very high The in India, I understand, is 900 pounds control price of procurement of paddy per acre In my part, the norm for was Rs 30 per fcotta previously It paddy is 3,600 pounds per acre If has come to Rs 50 now Still tht you chill the enthusiasm by undecid Government thinks that the price i>> ed po lcies and pronouncements off and not very high, the producer must get on, production is bound to go down, it These are incentives for produc not go up What is the approach to tion ^nd trade, but no incentives for the land problem’ Do you want to the consumer and the other people incieasc production or do you want to who are in the low income group use this tor any other purpose, other than for increase of production’ Let We do not ha\ e a price wage policj us there also be clear and forthright We are afra d of fixing prices on the p ea that production will go down If co-operative farming should be But, as I sa d before people who shout resorted to, let us not be apologetic and fight get more money, but not the ahout it I have spoken before on this other people How are they going to subject and I have said, there should ex st in this country’ Have we got a bu only compulsory service co-opera tives, because the individual is not price wage policy’ We have beer shouting here to fix a wage equated ’interested in seeing himself as a part ner of a big farm, but he is interested with the price of foodgrams Unless in seeing himself a proprietor of a you come to a decision, unless the Government is prepared to take cour small piece of land to be inherited by age and say, this is the norm which I his children That being the psycho- fix a3 pr ce of foodgrams, nothing will ogy and mentality of the people, now happen in this country Every Plan let us not frighten and threaten these that is coming up will be upset becau^c people who are producing more than foodgrams price upsets every other 3 000 or 4,000 lbs of foodgrams pei price That has been the practice Wt acie as the norm in their small plots are not economic pundits In the home of one or two acres by saying that economy, every housewife, every mat we will take away their land, and that who foots the bill knows that if food- they wall become members of the co- grains prices go up, the price of ever} operat ves If it is a service co-opera other oommodity goes up tive, then there is no quarrel Why this heat and argument everywhere, Rightly, it is, that the Government’s inside the House and outside? I would approach is directed towards the agri like to say that it is all due to a wrong cultural edbnomy But, in what fash thinking and a wrong approach ion’ Are we goirxg m the right dir ection, that is my question If these taxation proposals are taken into con An Hon. Member: By whom? sideration, we give big concessions to big business and we pass the Nagpur Shri Thanu Pillai: By those who Resolution and te’l the small agricul are interested turist that there is going to be ceiling We have not said what is the extent Mr. Pepnty-Speaker: By all thp*e of acreage , Even a five acre holding who assemble here and deliberate agriculturist feels that his five acres wi4 4^ tyta# qwqy from him Why not Shrl Thgira ?Ulal: The real fact spy qbvlsr Vfhat is our celling is that whgn the r**iJmg was amjounc- j 649 Ctottfai Bvdgtt— PSALfttiKAii, itt6 (iA^A) (3mmlfiiit«iiji» 5^ ed, peqple thought that ceiling was Acharya Kripalam spoke about going to be too small and they wanted faith, but he stopped with faith alone. to fight against it When they wanted Faith alone does not constitute truth. to fight against ceiling, we gave them Gandiuji taught us faith and fearless a handle to fight against co-op era turn ness Our Prune Minister has very It is not co-operation, service co-opera- often dilated on it and said that truth tives, as such which will affect the is faith and fearlessness, but I an peop'e, because our Prune Minuter afraid that fear has completely pos has said that there is going to be no sessed our Government as I can aee compulsion, it is voluntary If it is from the many surrenders to the many voluntary, there can be no quarrel threats of strike I would only appeal about it Then, why this quarrel from to the Government not to be possessed the Bangalore convention and all that? of this fear All that we decide let What is happening7 Very intelligent us decide fearlessly, in faith and people, very respectable leaders are fearlessness which are the two rails taking that front and going about say of truth I hope our Government and ing “that we are going on the totali our leaders will be capable of nsmg tarian way, therefore it should be to the occas on and speaking out, arrested here and now ” Are we going and if co-operatives must come, let us that way* not be apologetic Let us say that compulsory co-operativeg must come, It is a matter not to be lightly brush let us lace it If by that compulsory ed aside by saying that we will deude approach people go agamst us, we this way or that It has to be faced must accept it That is democracy squarely and answered not with un Hon friends said that we will lose the reasonable passion, but with argument, support of the people We are not convincing the people, because their afraid If the consequences of some arguments have got a hold on the approach and some actions of the Gov people, and the people are having such respect and regard for those leader*, ernment will lead the people to go and our leaders also cannot simply saj aga nst it, why should the Government that they brush aside that opinion feel shy of it’ When we evolve a theory, when we develop an approach, we have to take the consequence into The ce ling part of it, as I said, if consideration and come to our con it is to be liberal, will be acceptable clusions If it is going to be small, let us see whether the ceiling on agricultural land alone is reasonable, fair and I am only sorry that our leader is just, when you do not have a ceiling not here, and it distresses any admirer on other forms of wealth n this of our leader that some view on country regimented thinking is reported to have been expressed by him, and if An hon Member speaking yesterday that is true—it has been modified, I said that somebody had declared Rs do not know—I must say that our 1 80 crores as his wealth whereas his very existence depended upon indi real wealth amounts to about Rs 5C vidual liberty, freedom of thbught and crores and something more If that freedom of act on and speech If there is the kind of society that we have is going to be a crisis for that free why should I say that this landlord dom of thought, I am sure nothing who is having 20, 30 or 50 acres should will stop the degeneration of this be controlled, but these rich people country With all our differences with will be left alone * >ther parties and ideolog es and other troups and politics, we are confident Have we come to the conclusion thal if our success because of that one land as property should not be accept cardinal principle which «the Father ed n this country’ Whatever ma\ af the Nation taught, and his successor be the Mia, let us be clear and frank ha« been telling us time and again 5$49 General budget— MARCfe ll, J&JP General bitctunon j£ jo [Shri Thanu PiUaiJ that what we want 1s unity in diver this Budget is a cruel mockery at sity and not uniformity. If that Clandhiji’s teachings; it is the m ost approach is going to be given the go un-Gandhian Budget that I could ever by, we are very doubtful as to what imagine I also claim to be a hum ble the consequencea will be 1 hope the fjllowei of Mahatma Gandhi in my Government and its leader would take own humble way I think cottage into consideration the feelings of the industries and small-scale village people from all angles After all, the indusnes were dearest to the heart of md vidual human being lives, in our Mahatma Gandhi, but I find in this country at least, not by bread and Budget that the most important cot filling the stomach, we live for very tage industries like the khandsari great principles and high ethical sugar industry and the oil pressing values Of course, very often they are (.ottape industry have been heavily forgotten by the people when they do tixc-i and both of them will not not get food In our part of the coi 1- survive the heavy imposition try wc have a saying in Kural which is beirg levied upon them "Sevikkunai u illadapozhvlhu sinthu Sim< larl> other items of indirect vaydnikku eeyappadurn taxation are taxes on the poorest The translation is that when we do dass of people The tax on diesel oil is the most objectionable of these not hear something good, we will think of our food Duty on bins which is the poor man's recreation is another tax on the Shri 8. L. Saksena (Maharajganj) poorest of the poor Tax on motor How strongly l feel about the excise vehicle tyres and diesel oil will make duties proposed in this Budget u road transport more costly and obv ous from the fact that I have come deprive poor villages of cheap trans to oppose them on this the tenth daj port of my fast. Ghee of course, has vanished from the market, but the vegetable oil Mr. Deputy-Speaker: Yes, the hon which is now being used for cooking Member can sit down and speak if he purposes by the poor and the mid feels weak dle (.lasses, has been taxed and they will be hard hit by these taxes. Even Shri S. L. Saksena. During my the tax on tea has been raised and membership of Parliament 1 have thcrefoio I say the imposition of seen many budgets presented and Rs 20 crores by way of excise duties dtbated upon in this House But 1 1*1 on the poorest of the poor think none was so thoioughly capital istic as th s one The Congie-'b pro The special feature of this Budget claims that it is building in India .< presented by one who claims to be a socialistic pattern of society, but in disciple of Mahatma Gandhi is that the whole speech of the Finance Min no relief has been given m taxation ister, th| word “socialism” has been to the poor and middle classes who scrupulously avoided I wonder if aie the hardest hit The only relief such an important member of the given is by the abolition of the wealth Cabinet is so deadly opposed to the tax on the wealthiest classes. The very word "socialism” that he abhors it income-tax on persons earning Rs 3,000 a year has not been re moved But leaving socialism apart, I would judge the Budget from the funda There is a deficit of Rs. 81-67 mentals of the fa th which the Finance crores in the Budget All the new Minister professes, his faith in the taxes proposed will yield only teachings of Mahatma Gandhi I say Rs 23 39 crores and a deficit on 5654 Q«n*ral B u d g e t- PHAL6 UNA 2ft, 16& (SAKA) General Ducutnon 5652 revenue Account of Rs 58*3 crores I had thought that now that will still remain and the over-all a staunch disciple of Mahatma Gandhi budgetary deficit will still be Rs 222 crores Thu deficit should have been ^ras the Finance Minister, he would try to reduce the expenditure on civil covered by judicious taxes on the wealthier classes and by reducing administration to Gandhian propor ■expenditure on civil administration tions But I find that his Ministry u which has risen to the monstrous tfie worst offender in this respect, and ,jt has a staff of 112,000 persons on its total of Rs 223 crores from Rs 35 5 crores in 1948-49, that is, it has be jOlls In fact the expenditure on civil administration in the last two come six times in a decade and, nsen by 500 per cent, whereas our total years also has risen by Rs 91 crores budget including the defence budget instead of imposing these taxes on has only become double, or risen by jjoor people's sugar, mustard oil, tea, () ns vegetable oils, diesel oil and 100 per cent only It should be remembered that this sum of Rs 223 ,potor tyres, the Finance Minister should have cut down Rs 20 crores crores does not include the establish ^ut of the expenditure on civil ad ment expenses of the defence budget ministration In. fact., the. entire. Ssre defence out of our total expendi t in the Budget can be wiped jut if the expenditure on civil ad ture of Rs 839 50 crores, the total expenditure left is Rs 596 50 crores ministration is cut down to Gandhian proportions, and suitable taxes are Thus, in our present budget out of (mposed on the wealthier classes n total civil expenditure of Rs 596 50 crores, the expenditure on civil administration is Rs 222 73 crores 1 therefore, pray to the Finance Thi-, works out to 37 34 per cent I Minister on bended knees that these was the secretary of the Hanjan taxes on the poorest of the poor Sewak Sangha m Kanpur in 1934 should be dropped These taxes are Mahatma Gandhi had then laid down of the same nature as the tax on sail that in our budgets, the expenditure Khandsari sugar is the poor man’s on administration must never exceed ugar and a tax upon it is just like 10 per cent, and m an ideal budget a tax upon his salt So is the tax it should be confined only to 5 per on mustard oil, and I vehemently tent And here m the Budget of the oppose al] these taxes, and I hope Central Government which is run this Congress Party which has been by the Congress Party which is v 0 ed to power to follow Gandhiji’s returned in the elections by procla- teachings in running the administra ming from the house-tops that it is tion, and which is wedded to the the party of Mahatma Gandhi and ideal of building a socialist society wiU build the India of his dreams, II the country, will see that these the expenditure on civil administra taxes on the poorest of the poor are tion has mounted up to 37 34 per dropped from the Budget I have cent of the total civil budget been so shocked by these taxes that 1 have undertaken a fast along with 15 fan. two other colleagues of mine in Lucknow to protest against these new If you examine the budget of the taxes on the poorest of the poor It People's Republic of China, the size is because I feel so strongly m the of whose first plan was four times matter that I have said all this larger than that of our Second Plan, you will find that the expenditure on civil administration there does not Before I examine the result of the exceed 10 per cent That is one of duty on khandsan, I shall refer to the reasons why China’s rate of pro the important subjects The US.* gress is about four times more rapid Pakistan pact is something which is than ours very disturbing The way in which [Shn S. L Saksena] the Prime Minister disposed of that proaucers that the duty on it has pact in this House is not reassuring been imposed to save the vacuum pan I think our Government must lodge sugar industry, as the khandsari a strong protest with the United sugar industry was diverting cane States of America that we consider from the big factories to the khand their action as an unfriendly act sari units All this shows that he has completely dittoed what the president About co-operative farming, I have of the Indian Sugar Mills Association to say that it is really a welcome had said In fact, his Food Ministry idea I support it wholeheartedly seems to have become another de This is the first step on the way to partment of the Indian Sugar Mil 1» attain socialism Until we revolu Association The President of the tionise our agriculture and increase a* ociation has said in his address to our food production at least five the meeiing of the Indian Sugar tunes, wc cannot find money needed Mills Association a couple of days for really gigantic plan 1 ke those back that but for the loss of cane of China I disagree with those who from reserved areas to khandsari, the say that co-operative farming is im 1957-58 figure of white sugar produc practical If an earnest attempt is tion would have been equal, if not in made, it can be made successful And exccss of the production in the crush the attempt will bring to the surface ing season of 1956-57 He said that all the corruption that prevails today this khandsari offered a substitute to among the Government servants in w h i t e sugar, and in a year of surplus the country who may be called upon production, it could seriously affect to give cffect to this proposition I the prices obtaining in the home congratulate the Prime Minister on market ‘I have said that the white the crusade that he is carrying on m sugar industry is not opposed to the favour of co-operative farming c xpansion of khandsan, provided it I c j v c s cane m t h e factory areas I shall proceed now to examine me •t’one’, said the president of the nature of tax on the khandsan sugai Indian Sugar Mills Association industry I had thought that the Food Minister would protest against Thus to save the mighty white this duty on khandsari but I find that sugar industry, which is the second he is the most enthusiastic supporter largest industry of the country after of this duty the textile industry this heavy excise duty has been proposed on such a petty cottage and small-scale indus In his address at the inauguration try like the khandsari sugar industry of the 26th Annual General meeting Vacuum pan industry has now nearly of the Indian Sugar Mills Association, 200 factories in the whole of the he has observed that ‘the Govern country with a production of about ment have regulated forward trading 2 million tons annually There are in 0ur which was exercising a bullish three to four thousand small units of •fleet on its prices The UP Gov various sizes of kandsan sugar indus ernment had already promulgated an try m the whole of India, particularly Order for licensing khandsan units in UP Bihar, Bhopal, Madhya Pra Duty was also proposed to be im desh Bombay, Rajasthan and Pun posed on khandsan All these mea jab So, this mighty industry can sures would help to maintain the not compete with this small-scale production of sugar and arrest the industry in spite of the protection bullish trends’ Shn A P Jain thinks from foreign competition given to it that khandsan sugar being the poor for the last thirty years Does it man's sugar Is no sugar at all, and not speak heavily against the utter 00]? white sugar is sugar He has inefficiency of this mighty sugar in mlsc told the delegation of khandsan dustry that it cannot compete with 5455 P H A LaW A »,lU 8(SA K A ) GmtralDiteutHon 565(1 the khandsari sugar industry to say the quantity of cane and the yield nothing about foreign sugar? In fact, per acre has gone down, mill extrac the oat u out of the bag, in the tion and boiling house and overall speech of the president of the Indian recoveries have not improved, and Sugar Mills Association, when he fuel consumption and consumption of says that the khandsan sugar offers stores have gone up What is the • substitute for white sugar and in incentive for the sugar factories to ft year of surplus production could increase their efficiency? They have seriously affect the prices obtainable no competition to face, either inter in the home market The real reason nal or external The present hue for this hue and cry by the manu and cry of the sugar mill owners facturers against khandsan sugar is against the khandsan sugar industry not the diversion of cane to it in is the result of the fear that the reserved areas, but the fear that if expansion of the khandsari sugar in the industry develops, it will become dustry will force internal competi « serious competitor to the white tion upon them sugar industry It will then not be able to fleece the consumer as it does The present expansion of the khan- now even in the years of surplus pro d>an industry is the result of efforts duction I hope the House has not made by the Government themselves forgotten the sugar racket in July— Shri H C Snvastava, the Director of August 1949 when sugar was sold at the Imperial Institute of Sugar Rs 2 per seer in the common market Technology in Kanpur wrote as far back as 1935 The khandsan industry is the ‘The khandsari industry is of oldest sugar industry in the world still greater importance in relation Sugar is produced m India from to the agricultural system, parti times immemorial by this method cularly of the United Provinces, Khandsan sugar contains essential and possibly, in the near future, vitamins and is far more nutritious of the Punjab The khandsans, than white sugar The khandsan being small-scale concerns, are sugar contains proteins and other able to operate in the large areas mineral salts which white sugar doe*: in the interior where lack of com not In fact, Mahatma Gandhi had munication or scattered cultiva called white sugar as poison, but here tion make the establishment of we see this disciple of Mahatma central factories impossible at Gandhi sacrificing the cottage and present If the khandsari indus small-scale industry of khandsan try were to disappear, cane culti sugar at the altar of the white sugar vation will become greatly res industry I say, let the white sugar tricted and the installation of industry go to hell if it is not effi central factories later on will be cient enough to compete with such a much more difficult small-scale industry as the khandsan sugar industry It has no right to He has further observed exist if after thirty years of protec tion it cannot compete, not in the “Although work on the im world market, but even with the provement of the Indian process khandaari industry has been carried on for years by several workers, it has not been conducted on scientific lines and Let us examm* the increase in no substantial progress has, there efficiency that the white sugar indus fore, been made The principles try has attained during the xast involved m this process are just twenty yean. I have not the time as much the principles gt chemical to quote all the figures, but if you engineering as in any other major egumtaA the figure* you will And that industry 01 a similar nature and 5^57 General Budget— MARdtt 11, IMS General biscutsuMi 565$ LShn S L Saksena] the methods ol research should, the Indian Sugar Mills Association ■ therefore, have been analogous couple of days back that this only The first and the most essential concern is to save the white sugar recommendation that has to be industry, and for this he u deter made is that a research station mined to kill the khandsari industry. for the scientific study of the And in Shn Morarji Desai, the Indian process should be provided disciplc of Mahatma Gandhi, he has in the western part of U P , where found a very obliging friend the khandsari industry has long been established Without an What 11 the expert opinion about institution of this type, in which the khandsari industry’ Thu will be sustained work can be done foi obvious from a peiusal of the reports di least four or five years, it will of the Tariff Boards on Sugar in 1931, not be possible to obtain the 1938 1947 and 1950 All these Tariff technical data necessary for im Boards have with one voice recom proving the plant and process on mended that this khandsari industry scientific lines ” mu=t be helped to develop On page 51 of the Tariff Report of 1981, the As a lesult of the recommendations, Bonrd observes a research institution was installed in Bilan in Moradabad district, and the “Khandsari factories are easily Imperial Council of Agricultural Re and quickly established and for search gave a special grant for the many years to come, must form running of this institution which has an important outlet for cane in been working there since 1930 which those parts of the country which has now been shifted to Lucknow ait not as yet sufficiently deve In fact, the Tariff Board’s report in loped to admit of the construction 1931 had pointed out that the cost of of central factories It appears, production of sugar by the khandsari therefore that an effort must be process was not high, overhead charge*, rmde to support the khandsari are low and the cost of supervision m both as holding an impor is negligible, this to a considerable tant position m the agricultural extent makes good the loss incurred system of the United Provinces by the low extract’on The capital and os constituting an outlet for lost is es imated at 6 79 annas per surplus cane which may be pro maund of cant crushed a-> against duced in the next few years” Re I per maund in c ntral factories it b g pan vacuum industries These The Tariff Board in their Report figure:, relate to 1931 in 1938 have observed on page 9S, paragraph 115, as follows Now aftei 30 years of research and development and after spending croies ‘ The previous Tariff Board of rupees on the research establish considered this branch of the ments the khandsari industry has industry as necessary as providing grown into a stature that can compete an outlet for cane in areas where with the present most inefficient sugarcane cultivation is scattered vacuum pan sugar industry, and be and where for lack of communi cause this industry has now deve cations, central sugar factories loped to that extent, it arouses the cannot be established For thia wrath of sugar mill magnates and reason and because khandsari they have pounced upon it like a sugar had an important position hawk on its prey And I am surprised in the agricultural system of the after reading the whole speech of United Provinces, the suggestion Shn A P Jam, Food Minister, which was put forward that an effbrl he delivered before the meeting of should be made to support the industry Research work on tfm 5659 Gkmcrtil Budget— PHALGUNA 80,1880 (SAKA) General Discussion 5660 improvement of the process of On page 6 of the Sugar Tariff manufacture has been undertaken Board Report of 1947 is given the both by the Agricultural Depart evidence of Shri Mohd Jilani, Presi ments of provincial governments dent of the Khandsan Manufacturers’ and by the Institute of Sugar Association He has said that *if Technology Khan Bahadur S Government had given half as much M. Had! had, as a result of many attention to the khandsari industry as years experiments in Bhopal had been given to the sugar factories devised a bel which is considered there could have been much progress by him to be more efficient than m khandsari as well’ The Tariff the existing Rohilkhand b el” Board on the Sugar Industry have, under the chairmanship of one of Mr. Depnty-Speaker: The hon our most distinguished personalities Member’s time is up Shri G L Mehta, ex-Ambassador to the USA., said m their report in Shri S. L Sakaena I would re 1950 about the khandsari industry quest for ten minutes more “It has been maintained that Mr. Depnty-Speaker: He has read encouragement should be given out material within 15 minutes which to this village industry which could have been spoken only in half holds a position somewhat analo an hour Also nobody is able to gous to the handloom weaving follow him industry It has also been argued that since the present production Shri S L Sakaena: “The Sugar of factory sugar does not meet Committee of the Imperial Council of the total demand m the country Agricultural Research decided in khandsari sugar may be able to 1930 to finance a set of experiments supplement factory sugar espe for comparing the two systems Ex cially in times of scarcity Be periments were undertaken at Bilan sides a large number of cultiva m Dist Moradabad under the direc tors and middlemen especially tion of the Sugar Technologist and in UP derive their maintenance as a result of his experiments, an from this industry m certain improved type of bel was devised rural areas which are far remote Experiments were also undertaken in from factories and whose surplus 1932-33 at Shahjahanpur which cane finds an outlet in this indus showed that the Hadi bel was more try It is possible that in such efficient than the Rohilkhand bel if nlaces the establishment of worked under strict control by khandsari units on a co-opera trained labour but that both sets tive* basis could be successful were inefficient in regard to fuel But the imposition of an excise consumption and furnace tempera duty of As 8 per cwt at present ture An improved furnace devised on a village industry of this for it gives a higher fuel efficiency character is hardly justified and so reduce the cost of manufac We recommend that in order to ture It is proposed to test this bel give encouragement to tins vil at the new research station for open lage industry, khandsari sugar pan manufacture started at Bilari in should be exempted from payment 1936-37” of excise duty and that such technical assistance as is neces sary should be given to encourage That a cottage industry which is so its production in efficient units widespread should now be proposed and on economic lines” to be killed by this heavy duty is something which can only appeal to It is thus clear that the new pro the Finance Minister and not to any cess which is a distinct improvement other Member of this House or to any on the older method of manufactur other sane person ing khandsari sugar has been evolved 3*6l OMwral Budpet— MARC!) 11( 199* General IMttttMfc* 566* tShfi S L Saksena) as a result of SO years* research by and unskilled Ifcbotir etc So its Government institutions All expert ployment potential is 23 timet that. (If opinion of all these various Tariff the white sugar industry—per otauitd Reports is in favour of development of sugar I have beta surprised At of this cottage industry, for which the assertion of the Finance Minister Government itself has spent lakhs of in the other House where he haft s&id Rupees in the last 30 years Now that that the difference in the margin of it has become able to compete with profit between khandsari Sugar and whire sugar manufactured by the big white sugar is Rs 13 per mSund in factories, 11 is proposed to strangle favour of khandsan and by taking It I ask this House if sugar can be away Rs 5 he is leaving Rs 8 margin manufactured by the improved pro Th s is not a correct statement I have cess of khandsan industry in the been associated with this industry tot villages and gives a price for cane the last 30 years and I can say that to the cultivators which is higher this. is wrong than that given by the factories to day and can produce a fine and more What is the real cost of production? nutritious quality of sugar as well as There are four methods of making rich molasses, why should not this khandsari sugar One is the old desi industry be supported in perference method in which no power is used to the white sugar industry7 Instead of 'pending huge sums of money and Mr. Deputy-Speaker: If he is going foreign exchange m importing to describe all the methods also, it machinery for big plants, should not will take a lot of time this House consider that that money should be spent on development of Shri S L. Saksena: I will just this small scale cottage industry t 'cr to them Only 5 per cent of which will also solve the problem of the total production of khandsan unemployment to some extent’ sugar tt> now produced by the first method More than 50 per cent of Support to the khandsari industry the sugar produced by the khandsan would mean many advantages The procoss is by the second method equipments of the plants used m About 30 per cent is> produced by this industry are solelv manufactured the third process and about 15 per inside the country and need not be cent by the fourth process The first imported from foreign countries So method is th° old indigenous and by encouraging this industry to sup lequires an investment of Rs 2,000, plement sugar produced by the white the second requires an investment of sugar factories to meet the country’s Rs 5 000 the third an investment of consumption requirements we need Rs 40,000 and the fourth an invest not spend crores of rupees in import ment of one lakh of rupees In the ing heavy machinery from foreign first there is no power used, m the countries and waste foreign exchange, second bullock power is used for the in these dwys of extreme stringency crushing of cane and electnc power and lick of foreign exchange All for driving centrifugals, in the third the 200 Mills m India which produce and fourth methods power is used to 20 Iflkh tons of sugar, employ only cru’h cane and to drive centnfugals 1} lakh persons including technicians, but in the third method, no skilled And unskilled labour but the lime or sulphur is used and in the 3,000 Small units of the khandsan fourth method purification of juice industry in UP aloiie of vanous is done with sulphur or lime The kinds, which between them produced cost of production under these lour 1 75 lakh tqps of sugar last year m processes comes to Rs 28-10 for the the season 1957-58, employ 3 lakh first process, Rs, 27-6 for the second, persons including technioians, skilled Rs 28-10 for the third process and jtfj GmMtt ditdgtt— PHALOUNA 20,1U0 {SAKA) Gm«ral2> Rs 28-2 for the fourth The price the industry can develop properly, of sugar at present is Rs SO for the and export can also be furthered first quality, Rs 29 for the second Rs 30-8 for the third and Rs 32 for Mr. Depaty -Speaker: Now it should the fourth be all Mr Siva Raj Mr. Deputy-Speaker: I shall have Shri Siva Raj (Chingleput—Reserv to come to the rescue of the hon ed—Sch Castes) Mr Deputy- Member now He is not taking care Speaker, Sir, the Budget used to be an of his health I myself feel concerned interesting and exciting one, of sur- about it Therefore I shall have to pi ses pleasant to some and, of course, stop him unpleasant to many But the Budget now has become a painful formality, Shri Bhakt Darshan (Garhwal) as it strikes me, for the Finance Though he is on fast, he is going fast Minister and a dull and dreamy affair for us It is bound to be so, for the Shrl S L. Saksena: I would re Budget is framed round the Plan and quest for two minutes more has consequently fallen into a pattern wh ch can be, if at all changed only Th** margin of profit on khandsan a 1 ttle from t me to time The is on the average about Rs 2-4 per no mal feature of the Budget in these maund, and the excise duty proposed dajj however, 1, a complete depen Will kill this industry which deserves dence upon foreign assistance, loans, to be supported I hope the hon ai increase in the rates of taxation, Finance Minister will see that this d rect and indirect and deficit du y is removed financing Sir, the days of financ al wizards I would now try to say something arc, I think, past And, if there are about the white sugar industry This any such in this House, I leave it to industry has got 200 units them to probe into the Budget and its intricacies and to make suggestions Mr Deputy-Speaker If a nev, or comments—maybe constructive or industry is begun now, he may not otherwise—for the benefit of th s find time to refer to it House I will only content myself with making this observation that so Shri S L. Saksena The reasons far as I can see the Finance Minister for the present difficulties of tne his proved himself to be a practical whi c sugar industry lie m its own idealist keeping h s feet fairly firm selfishnes'. If the Government wants on tho ground especially when I see to help this industry, it has to set th n ho is a Member of the Union up a marketing board to purchase Government of which the chief is the sugar produced m all the Mr Jawaharlal Nehru, and which f i '•tones and to sell it at a Government of late, I find, is feverish u-nform ra e in the country At carry the simile further, it has got a prtse.nl sugar sells in Madras at *endencv to fly into space after the Rs 42 per maund in Bombay at Rs 41 ind flight >, and, perhaps if I may per maund and in UP at Rs 37 per manner of Sputniks and Luniks, m its maund This differentiation is not approach towards the tackling of the proper The advantage of Rs 4 per many problems with which it is maund of sugar reaped by these fac faccd tories in the South is most unfair and I know the difficulty of finding the should not be given to them The marketing board should take over resources for implementing tne ever- ncreasmg Plan with ever-decreasing purchase and distribution 0if sugar In resources It is indeed a* mighty task that way, the sugar cane growers and labourer* can get proper wages and for any Government, the Congress 3665 General Budget— MARCH U, 1959 General Dfemwimi 5666 (LShn Siva Raj] Government or the Communist Gov who are doing the work of the Flan. ernment or any other Government There is, a cry that there is lade of Nevertheless, it has to meet such a employment, a lot of unemployment; difficulty and it can be met by a but such employment as there is, I practical approach to the solution of find, is not in the service of the the problems country at all It is employment almost amounting to Government giv Reference has already been made as ing doles because I find a number of to how certain internal resources can these cmplojees do not do their work be adjusted towards this implementa properlv That is a matter which has tion of the Plan For instance, my to be rectified hon. friend, Shri Jaipal Singh, in fact, The third th ng in connection with referred to the two things which 1 the utilisation of our internal resour had in mind One was the imposition ces will be the scrutiny and the care of the salt duty again, and the other with which the framing and execution was the scrapp ng of prohibition, of the schemes ought to be looked which, undoubtedly will increase the into With a 1 ttle experience as a iccpe extent of oiv internal Member of the Publtc Accounts Com resources I need not labour these mittee, I And that almost in every points case of a big project there has been over-budgeting end also m the placing Secondly, I find that so far as of orders for machinery and spare internal resources are concerned parts there is always needless waste much depends on how those internal Some of these can never be resold or resources that are available are being utilised m other projects Things like administered In this respect, I must these are going on due to lack of draw the attention of the Finance scrutiny and exposmg the sort of M nister and in fact, of the Ministers callousness there is on the part of of other Ministries to the fact that those who ere in charge of the execu manv of the senior officers such as the tion of these projects, with regard to Secretaries to Government and other the utilisation of funds In any case, denartmental heads find it extremely it is time that some machinery or difficult in these davs to come to other is instituted to check this growth definite and auick decisions for fear of indifference of both public servants that thev rn'ieht got upset or thev ind others towards utilising the gov might be upset bv the Mm'sters at ernment funds the top for some reasons of their own Another matter m which I have It is a fact that most of these officers always been interested and I have are suffering from a lack of firm b*»en makinp observations on is the decision Thev nre indeed comnhin imbalance that now exists between ing—such as I have seen—that thev the industrial development of the cannot take a decision Consenuentlv countrv and its development in the there is del»fv a kind of doubt ’n the agricultural sector I find the attitude framing and execution of sr-hemes of th» Union Government is one That is a matter wh^h this Govern which does not helo the vast masses ment ought to hear in mind and T of neople in the rural areas I see the hooe the hon Ministe” wfll tike this TTnion Government 'is like a flving ln*o cons’deraHon column in advance leaving the coun try behind in suffering and starvation On tile other hand, I find of late that I feel that the Government should, in the employees of Government are not the near future, see that the develop even plan-minded They do not bring ment of th#» rural parts is be'ng done Into their daily work the kind of «.idn bv side with 'industrial develop enthusiasm one will expect of people ment Otmtrml fHALOOWAao, 1M0 (SAKA) GottrtfDitautim $668 I h i remedy suggested now i*—I do tion which we call parliamentary not know what Resolution they call procedure, say, for instance, with it; let than call It the Nagpur Reso regard to the time limits or with lution—land ceiling and cooperative retard to the order of calling the tanning. I really doubt its value speakers. A number at people get very much, because we, at any rate, up one after another and speak in the people whom I seek to represent different languages which a succeed through the Republican Party in this ing speaker probably never under Souse and elsewhere, do not come stands. I find that it is only recita anywhere near this cooperative farm tion end no debate. That is the sort ing—and most of them are landleas of parliamentary democracy, which, labourers. I do not know how far I am sorry to have to point out, is this land ceiling and cooperative being observed here. fanning will come to the help of the people I represent But, I can tell you Mr. Deputy-Speaker: I could net one thing that we can support a follow the hon. Member exactly. I scheme like that provided the Gov* do hot know what he means by that erament agrees and starts at the same I suspect that he had certain com time what we call agricultural settle plaints against the Chair and he has ments tor these landless labourers. now said about some regimentation and the giving of turns to speakers For a number of years, we of the and the time-limit on speeches and Republican Party did not believe in so on That would certainly be some any kind of ism like communism or reflection against the Chair. I could socialism or anything of the kind, the connect it with the note of his Party meaning of which we do not under that I received only halt an hour stand, the feeling of w hich we do not earlier and that is also couched in the know. We always felt that in order same language to help the landless labourers, there ought to be agricultural settlements in places where there are lot of waste Shri Siva Raj: I am very sorry if I lands which could be made cultivable. have given you that impression. I We have heard that an individual merely wanted to suggest that a selfless worker, on behalf of the poor system which could put a time-limit has been able to collect a good num on the speakers does not result in a ber of acres—Mr. Vinobha Bhave—of real debate That is what I meant. such lands. If that is possible for an There is no complaint against the individual, I am perfectly certain that Chair or against anybody It is arti rt ought to be poss ble for this Gov- ficial and that is why I call it regi i rnment mentation There is another thing in which our Now, outside the House what is the Party is interested and which we have sort of democracy that we have deve put forward as one of our planks and loped I do not understand it. I that is our faith in the parliamentary thought at one time the Congress and system of Government, particularly in the Communists were rilnning m the two party system, if possible, the paroled and opposite directions. I working of parliamentary democracy find that they run in the sime direc for the benefit of all We have been tion today... for some time past closely watching the progress of parliamentary demo Mr. Deputy-Speaker: Still panllel cracy in this country I am sorry to have to say this, without meaning any Shri Siva Raj: i>et me complete my disrespect to the Chair or to the House, idea almost converging to a point. ({Shri Siva Raj] these two parties between them will society has been going on—he calls it have their own way. I do not see Sanscritisation—resulting in a number any difference between one party and of castes. It has been going on cen the other so far as its high command tury after century resulting in a sort, or its method of Government is con of graded inequality between differ cerned. My lear is that people will ent sections So, do you expect the be left where they are and I am not wolves to look after the welfare of certain what is going to happen to the lambs? It is those people that the future of the country. But I can now run this show. It does not matter advise the Government in power and whether it is Congress or Communists. the Congress Party and remind them Who are leaders of the Congress or at the old English phrase: "Beware of of the Communists? They are all the Greeks when they bring gifts”. drawn from the same class in what When my friends the Communists ever robes they may appear It does offer to co-operate with you, beware not matter if it is this party or that party. That is my fear with regard We are all talking about the socialist to the ultimate results My only pattern of society. It has become a request will be, if they do not mis fashion to do so and to talk about the understand, to all those people who socialist pattern of society and to are interested in the equal distribution quote Mahatma Gandhi's words parti of wealth and the welfare of the cularly about equal justice and equal people, and my first request to them opportunities to all. I see various will be “De-brahminise the society projects like the community projects, and then talk of the socialist pattern national extension schemes, the block of society" development schemes and many other &ocial welfare schemes and I find that Shrimatl 11a Falchoudhnri (Naba- all the people do not get the benefits dwip): Mr. Deputy-Speaker, I support of those schemes because unfortunate this Budget whole-heartedly because ly the people who conduct these after all there are few alternatives left various welfare institutions as they to a Finance Minister when he has call them, are people—personally to have an income and balance it with speaking, I can say—who have not got the expenditure and yet carry on the the.r heart in the job and even if they development. There are some things do their heart extends only to certain which he must do. He has taken some sections of the population. I know— steps which he has to and I realise 1 hope I am not wrong—perfectly that but at the same time, being in that my friend over there also agrees intimate contact with the people I with it that the real people for whom have something which I would like these schemes are intended do not get to bring to his notice and see if they the benefit at all and the whole thing could be redressed. There are some is due to the fact that whatever the points that I would like to stress. The system of .Government you may have, Budget this time at least has been whatever be the benevolent nature of presented to us in a way that laymen the scheme you have, the people that like me can understand it a little handle those schemes are people who, better because the different Ministries I think, are not yet trained socially to have been presented separately and t execute them or to do justice. We are think it has been a great help to talking of a socialist pattern of many people. On top of that, the society. What is our society? Mainly Finance Minister in his Budget speech speak’ng, a major portion of our has said certain things. TKere are tw*o society is Hindu society. I read some things that rather confuse us. The where in a* book on anthropology by Finance Minister is of opinion that We Dr. Srinhraa which pointed out that have passed the difficult times, and h r centuries the Brahminlsation at the the difficult phase is storp or less over. 5*7* Q***ral FHAIAUHA20,1480 (&AKA) General Discussion 5672 We w e very happy to hear it But food is not available, and there has to th» Economic Survey, however, tries be long correspondence before rice to point out to the continuing difficult and wheat is made available for the ies to be overcome. It is also as it tea garden districts. should be. But the two things are a Sir, there have been imposts that little contradictory. The system of have affected the common man. Many deficit financing is also to be there hon Members have already stressed when we want to go on developing that point I can only say that but by the end of the Five Year Plan .ilthough this has to bf done, things period the limit of Rs 1.200 crores will that affect the very poor man and the pfrfrupa be exceeded. Since we are common man should really be consi confident that our production will go dered In that category falls both up, I do not think there is much cause mustard oJ and diesel oil Although for alarm in that. On the food front, the Finance Minister himself has told 1 have to bring certain things to his us that in respect of diesel oil it will notice mean only 0 34 nP, when it actually The Government has had a lot to comes to the trucks and buses that ply do towards easing the situation, but, on the road, the fare will be put up Sir, it has not eased the situation. I Then it will not be 0.34 nP but it will would only say that the Government mean practically an increase of 5 nP has to carry the people with them so to 8 nP per truck mile Then the that the food front can be properly common man will feel the impact tackled In respect of mustard oil also, I think it 14 a very sad thing to have It is said now-a-days that where done, because that ■$ one of the few ver the Government steps in the things with which a poor man has to prices seem to spiral up In the case cook his food The price of foodgrains of food the prices have spiralled up is already high, and now the medium In m y State the fair-price shops are to cook is also going to be high not adequately supplied People are Apart from that, mustard oil has got not able to get what they want. Peo essential food values It is the only ple have to wait in queues for twb to kind of cosmetic for the poor man’s three hours or more All sorts of wife, because by applying mustard oil difficulties are there The price of it keeps her skin in good condition food has ce tainly not come down to It also gives some immunity from the level that the common man can d seases I think the question of pay and get it at the tune lie wants. mustard oil must be considered and As I said, the feeling nowadays in the there should not be any duty, if pos oountry is that wherever the Govern* sible, or at least the duty must be ment comes in. the prices go up, whe reduced ther it be food or anything else. The Government has come into question of From food. Sir, let us come to drink family planning, and the population 1 am referring to Gang a, the drink, has gone up. Whatever that may he, mg water supply to Calcutta The I would certainly bring to The notice history of India will show 4hat the of the hon Minister that the food people of Calcutta do not get good situation must be really tackled water to drink because the water that is available is not drinkable or potable In this connection I would like to It is very saline. Tfce Ganga Barrage point out to him that rice for the tea is an absolute necessity, and I hope it gkrden areas has to be supplied as will be considered by the Ministry, so Quickly as possible and as adequately that it can come into being as soon as *• is possible, because if it Is not possible. The Railway Ministry has Jh«e, it will entail labour trouble. said that it Is the salinity of water Qovenunent has made rules that we that hampers the functioning of the >■*■1 supply food to the labour But railways there because the engines are OmMprt Bvdp t ~ MARCH n , i»s# Q***ral pUewstoa 5874 {JBud&ytti life Pakhoadhury.] d «n y i spotted chtc to flu great thing of smaller «h|p» far salitoity prevalent Jo 1he water trade, because that it something that Is Therefore, I hope that thia project essential. Z cannot go into the detaQp 'W ill have due priority and within the about it, but small ships of 500 tom Second Five Year Plan period the are a necessity for India. I thUfc Ganga Barrage will come into being that must be looked into. Then about the port in Calcutta, When we think of any Budget we and the second shipbuilding yard in have to carry the common man with Gaonkhali. It has the first preference us. There are only few amenittc» even from the point of view of the that he gets, and it is through thaae opinion of experts. The little saving amenities that we can carry the com that is sought to be effected—Rs. 1*7 mon man with us. The few amenities crores—if it is built in Cochin, will that he gets at the moment are: he be amply met by the various advan gets communication, his letters are tages that the port of Geonkhali will carried, there are railways and roads, have because it has everything near he gets a few health services and it It has got forests, wood, steel and some education. If on all these things tfverytibiV dtemr ituVjqt- ib ere tn e im pests Jtad to re* Jfcfe*# tages it can make up for the extra cannot bear, then I thnk you cannot cost, and you will have to incur addi carry the common man with you. tional expend ture if things ere to be taken to Cochin to build ships I have to make a plea in regard to Therefore, I hope Geonkhali will the central sales tax on a cottage always retain its priority and have its industry It is a cottage industry of claim for the next shipbuilding yard the workers of Krishnanagar. They make mud dolls. It i6 a house to We are very happy to know that at house industry. They are very artistic Haldi the next port has been consi and they have been acclaimed every dered, because another port near where and in the exhibitions where Calcutta is an absolute necessity as they have exhibited them. There Calcutta Port is gradually dying out is a central sales tax on them if they It is the lifeline not only of Bengal export them even from Bengal. They are so poor that they did not even but it is the lifeline of India, and it must be kept alivp know that this tax has been imposed. In some cases this tax has bees collected from them with retrospec Here I wpuld like to bring to the tive effect, with the result that th# notice of the hem Minister that the industry has completely closed down Commercial Intelligence Wing of the This has entailed hardship It Central Government is sought to be hundreds of workers who actually transferred from Calcutta to Delhi depend on this industry for their Thmy are doing very good work. They livelihood are mainly connected with customs duties in'ports. I hope they will yet About the refugees, Sir, I have only remain in Calcutta and carry on their two points to make. There lot has not work, because if they are transferred yet been mitigated, with whatever the tram Calcutta much of their useful Central Government thought of doing ness will be lost. They have already as speedily as could have been done sent a memorandum. I hope the The Rehabilitation Finance AdminJai Minister concerned will surely look tration Act is sought to be amended. into it In that amendment it is sought to pro vide that you can arrest the peopta who have not been able to pay. Brit ' About coastal trade I have only to by arresting people you cannot got Say that when we think of another money, because (hey are not able tv PHAXX3UNA80,1886 (SAKA) (WalDiwuwton 5676 5*75 t d o not know What y o u can do But I think the whole position can be 2 £ i t people Wfco can pay. but if you reviewed at a proper tune I hope U will get that reviewing from the ■rm t owpfe who cannot pay ®* money & «r livelihood wffl dep®^ w Prime Ministers—both the Prime S T state again- You will put them Ministers—in question at a proper sTtails and feed them How wan you time decrease the burden on the Stot* There is only one more thing that Therefore, what I would plead is, if I would like to bring to the notice of they have not been able to pay or the hon Minister and that is about “ birn the money that they have taken the way in which the balancing of at 1ai »"« for small trade and other the budget is to be done Of comae, a little mare money may be it is not for me to tell a very honour riven to them so that they may be able Minister like him what to do aUe to pull themselves out and really Of course economy has to be effected rehabilitate themselves They have tned to effect economy m one or two cases, an economy to the In fact the Rehabilitation Ministry tune of Rs 2 crores or something has has given us a note I can only point been made As said by the hon Prune out one instance from that Minister m the House the other day, They have said that industrialists all there is a probe also going to be over the country have been given effected into the various High Com money by the Ministry to employ missions and so forth by which an refugees, and they were expected to economy of £ 40,000 is expected employ 0,000 refugees I think they Hungs like that could be done so that have not even employed 1.000 persons the budget could be balanced and ft«n» of the industries could not func undue imposts would not be levied tion because steel aad other things and the people carried with us It is could not be had. There were these quite true that if we want to say that difficulties, but, of course, there was the Plan is good and the budget is {Shri Subbiah Axnbelam] 'j&amly the insufficiency m food pro So far as ceiling is concerned. I daction and the strain in our foreign may mention that in the South wc and external resources I shall first have our own doubts The main of all confine my remarks to food purpose of imposing ceiling on land production is to provide more employment and We have been aiming at the to give permanent cultivating rights achievement of self-sufficiency m the and not to disturb or to evict the matter of food production We know cultivating peasants So far as Madras fully well that our etonomy whol]> is concerned there are a number of depends upon food production and th* laws enacted by the State Govern attainment of self-sufflcienc> in foot.’ ment For example, there is the production We know fully well foi Protection of Cultivating Tenant: Act the past ten years that we have been which has said that no cultivating importing foodgrains from other tenant should be evicted and that the countries to the tune of about Rs 500 share of crops to be divided between crores and still, in spite of having the cultivating tenant pnd the land spent crores of rupees m cons owner has been fixed This has been tructmg very htifee dams and' wonlcsstf' very jat/st^etrrjty jib& Oze reclaiming millions of seres and in yield per acre in the Madras Sta4e, I spite of intense drnp foi cultivation suppose, is the highest when com m the National Extension and Com pared to the average pioduction per munit' Block areas wt are facm acre in the whole of India Therefore, this shortage m food Year after yeai m such a situation, it is very we are importing foodgrains, both dangerous In a condition when we nrc and wheat for hundreds of are every year, importing foodgrains erorcs of rupees Ever last year f( and when our aim is to improve the the half vear ending ’ 058-59, we have Acreage yield and at the same time, imported foodgrains to the turn of bring new lands undrr cultivation it about Rs 53 crores In the yeai is very dangerous to start on an 1956 57 we have imported foodgrains Experiment like this such as fixing to the value of Rs 101 crores In the Veiling on land but ceiling on land year 1957-58, the value of the food- Vill not solve the prrbiem of unem gnims imported was Its 153 cio.e ployment Wc know that even now This shows the magnitude of our pro *nore people are engaged in agricul blem and how wr arr not in a position ture much more than agriculture to balance our requirements m the Actually requires Therefore, the other matter of production of foodstuffs Solution for this unemployment pro blem is to start moi of new indus This shortage m food is mainly due tries smaller mdu-%iii' in th< u tal to lack of adequate step*; to impiovc 'ireas food production ana uso oui lack of efficiency to create a good climate Now we see that the prohlei/i of for increased food production amoiif, Unemployment is on the increase, and the argiaultumts But w« have been Ve are not able to find a propei solu taking measures which in a \va *ion by giving even g&.nfut employ- cause some apprehen ion m the field rnent to the millions of people who of food production Now. v,c arc 3re left unemployed. The only solu talking about ceiling o<> Innd staiting tion is to start smaller industries and of service co operativt being started in big cities and towns these commodities, at the same time, and which are surrounded on ajl without causing sno^e of unemploy sides by very good lands, which are ment. costly, cultivable lands, and which are I would like to mention somethmg reclaimed for the p u rp o s e of construc about the handloom industry. We ting mills, especially in and around know that there are about 2| the cities. If the Government were million looms in India out of which to take up a very good policy which more than 5 lakhs are in the Madras is necessary in the interests 01 the State Two to three million people country and in the interests of are employed in this industry This increasing food production, I think is one of the most important indus that the Government should bt very tries that we have, which gives careful in giving licences to such mills employment to a large section of the to be started in big towns because the people in the South The people who mills take away the b»st c\ ltivable are engaged in this industry mostly lands in those areas depend on export of these handloom fabrics outside India. Now, we I want to say one more thine about understand that cur export markets ceiling. The Nagpur H«'solut:or> says where we export these handloom that ceiling on land should bo fabncs usually -beia# -effected I imposed. But this has noi been would request the Government not unanimously adopted bv our govern only to take measures to retain the ment and the Planning Commission traditional market!-, btit to continue H ere is a sign that they are fcoing to the export drive We should maintain exempt mechanised, modern farms exports with these traditional Why should these farms bt exempted markets, and, at the same time, we from the ceiling* I am not able to should explore the possibilities of understand that Moreovct, out exporting all our hind'oom fabrics to policy is that there should be a ceiling other countries su«.h as Europe and on all wealth, whether it :s wealth on America Only about 30 per cznt of land, whether it is wealth in urban the weavers hav'j come under the co property or in the ftrm 01 business operative sector and a large body of There should be a rcil.nto There them arc left outside the co-operative should be no discrimination between sector These people who are left wealth which is in the form ct land putside face difficulties in the matter and wealth which s m the foim of of supply of chemical dyes and other urban property or industries. There things. I would request Government should be no such discrimination in to extend facilities to these handloom the matter of fixinr a -piling on weavers who are left outside the co wealth operative sector so that their needs 1C hrs. may also be looked after by the Gov ernment and they are not put to all I now come to the pi obltnn relating unnecessary difficulties to foreign exchange resouices. We 1 would like to refer to one other know fully well that ours is a important matter, namely, export of developing economy. When we are hides and skins. Export at this item implementing our Five-year Plan and earns more tha.i Rs. 80 crores of constructing big dams and big indus foreign exchange. Government have trial units, v«i; uqaire foreign been allowing, as a matter of policy, exchange. iTui earning foreign export of raw hides and skins which exchange, we must also conserve our really affects our economy, which internal consumption and at the same really cuts short our earnings of time promote export. In the matter foreign exchange. If the Government of export, there are one or two items are wise enough to adopt a po’icy of which are very good foreign exchange preventing export of raw h>des and earners. The Government should pay ykins, our earnings * of foreign more attention in regard to export of exchange in these items would be $5*1 General Budget— MARCH 11, 19M General Disc«c*to* 5< h [Shri Subbiah AmbalamJ IwM li We know fully well that where people ear aftard to invest .NftfcNa a fa cia l quality of hides and Rs. 5,000 to Ss. 10,000 and if tu th a * m s in India. In no other country levy is imposed on them they will not are we able to And raw bides and be in a position to compete with the skins of this type. This is peculiar to big miU-ownets who are dealing in QUx eountry, suited to our climate &nd crores of rupees in this oil business. conditions here. Our hides and skins are very much likei by the foreign countries. We must take advantage The previous speaker has been of this demand und -~cc that raw hid<*s mentioning about t'io refugees from are not exported. East Bengal. We are also facing a similar situation m the south. Some I would even suggest this Since of the people from th; South, especi our Government needs money for the ally from the M vivas State, have implementation of cur programmes, I been working as wage labourers in would suggest a small levy on Ceylon, Malaya and other places. They the export of raw hides and tanned are finding their position very difficult hides and this money could very well there. They are bom? repatriated te be utilised by the Government in The India People from Madras who had matter of starting industries engaged gone there ten or fifteen years before in manufacturing leather >>oods wMch are being sen* a (Shri Oct] cannot yield any results, and so, they perhaps. They have been deriving had to rely on commodity taxation. inspiration only from that quarter. I Hon. Members will be surprised to do not grudge them that method of learn to what extent they have taxed taxation, because there is no other commodities. He has selected a series source for them. of assessing the tax burden and he says: Shri Monrji Desai; They always believe in father and not mother. '•Whichever the series selected, the level of taxation is discover Mr. Deputy-Speaker: Why should ed to be extraordinarily high. The there be divorce between father and tax burden increased steadily and mother? rapidly from 1926 to 1936, roughly doub'.ing over the ten-year period. Shri Oza: Acharya Kripalani also In 1936, the household paid back complained about higher prices, infla to the state in the form of taxes tion etc. It is true that prices have 60 per cent, of its total money gone up and there is inflation. But, income.” as I said in the beginning, it was par ticularly because nature was not pro Shri Tangamani (Madurai): That pitious as it ought to have been. Let was 20 years back. us hope that this year there are very good prospects of agricultural produc Shri Osa: I am going ahead also. tion. In this connection, I would read He says: a portion of an article written by no less a person than Shri Asoka Mehta, "The burden declined during the his respected colleague. He has said relatively good years, 1937 and very correctly: 1938, but increased again in 1939 and 1940 as the Soviets mobilized “Let it once again be reiterat for war. In 1948, the burden is ed that if an underdeveloped estimated to have been almost 69 country is to develop successfully, per cent. The substantial conces it is necessary for that country to sions to the consumers embodied make a large initial < effort to in the price cut;; from increase output and to do so very 1949—1953 are reflected in the early in the development attempt. drop to 57 per cent, again by the latter year. Many difficulties, If the initial or early attempt both methodological and statistical, were encountered in making these does not reach a critical minimum, estimates; these are discussed then it is likely that the country only briefly in the text, but in will revert back to its former great detail in an appendix.” under-developed state. If such effort is to mean build Compared to this, the average low ing up of steel mills and power income group family has to pay in plants, expansion of transport etc. India hardly H per cent., whereas the not only considerable tax efforts a Soviet working class has to pay 60 would be needed, but as these per cent, of the household income by basic industries do not yield way of taxes, direct or indirect. So. immediate consumption satisfac What is sauce for them is sauce for us tion, there would be no parallel Also. They cannot say that we should gains with the stepped up savings. not tax commodities, when they ar« Likewise, the employment provid doing the £axne in their part of the ed by the investments would be country, because every now and then limited because of the capital the? say that; they are doing it in intensive character of the early their motherland or their fatherland stages of development." 5687 G*n*nl Budgtt— PHAIXJUNA20, (SAKA) General Dtsctusion s688 Then he says of them, for there are many officers at the higher levels and at the tower 'Higher taxes, increased prices levels who are playing their role very and limited employment opportu nobly and in the interests of the coun nities thus pave the way for try—are not playing their role well rapid development in future Pre and we cannot say that by and large occupation with taxes, prices and we are satisfied with what we are see employment might provide imme ing, so far as the services are concern diate rebel but by aggravation of ed That is the position after 1950, difficulties in the future” after we adopted the new Constitution Previously, the fear element was there ’When we are planning for a bright in tin services Of course, we do not future, I do not think we should want to regulate the services purely swerve from the path which we have through the fear element, as it was adopted It may mean some strain on happening before But we have got us but we have got to request the to create discipline from within Now people to take it smilingly and go what is happening? There is no fear ahead in the great task and journey element At the same tune, discipline that lie before us is not generated from within So we This, brings me to the third aspect msiibordwB U on and jndisciphDe, and that is the form of control over the output is very low and there is the growth of non-development expen also corruption Therefore, I would diture So many hon Members have suggest to the Government that we should go thoroughly into this ques laid stress on it and 1 am also sure that the present Finance Minister will tion, appoint a commission if neces sary, or make one additional reference bnng to bear the impact of his per sonalitj and he will check all the to the present Pay Commission, and non-development expenditures that are find out the real reasons behind it If seen in the budget necesi>ar> even the Constitution may be amended so that we can exercise But while we are on this non-deve som<> control over them Because, the lopment side of the budget I am con position today is that neither can we strained to observe that we have got inspire the services nor can we con to think seriously about our services trol them Therefore, all the parties The other day one hon Member may put their heads together to find pleaded that we snould give interim out a solution, because they have relief of Rs 5 to the Central Govern always been complaining that there is ment employees Then the problem corruption, inefficiency and all these was very well thrashed out and the things I do not want to take away hon Finance Minister has given a pro- the legitimate rights of the services p« r riplv to it At the same time, we cannot ignore the hard realities, the hard facts We Shri Tangamaiii Do you oppose it’ have to keep our eyes open There fore, I suggest that we must seriously Shri Oia. I neither oppose it noi think about this thing Unless we do support it Let us wait for the report this, I do not think we iflill be able to of the Pay Commission, because we do take the work which we propose to not know what tepercussions these take from the services things will have on the States local bodies and various municipalities Therefore, let this problem be scienti- flcalh thrashed out One more point Tht other day, i relying to a question, the hon Mm- But what I wanted to suggest was istei of Steel, Mines and Fuel said that there is a feeling that after the like this The question was about the new Constitution was adopted, the guest house in Rourkela It was ask- services by and large—I do not tay all ed, is it true that, in order to eqtrip G«wre» »•<*«*- MARCS W, Q*m M StoMrtiM 5(90 fShrt O n] gttest house at Rourketa with the which, sometimes, is eager to lend a •Met modem and latest type of elec helping hand but which always is p l » tric and sanitary fittings, we have pared to play the role of a super, budgeted for Rs. 1 lakh or something government Considering all these mare. It was said that Rs. 7| lakhs factors, one must admit that the Fin te r a guest house is a modest amount. ancial Statement prepared by my I d» not think this is a proper approach friend is a document o t great clarity to the problem. After all, ire must and intellectual honesty. One may make the people realise, that whatever disagree with his estimate of things. we collect is properly used. People One may quarrel with the policies that will give most willingly and smilingly he has adumbrated. But, no one can if they have the sense that what is deny that he has applied his mind to taken from them is properly utilised his task with great conscientious abi » the nation’s interest. If the feeling lity goes round, particularly in the type at democracy that we have adopted, that the money that is collected through I do not want to deal with the vari the blood and tears of the people, for ous taxation measures in detail. I development—1 say that even more shall deal with them on a subsequent money may be collected through taxa occasion. But, I ask myself, as several tion—is wasted, is not properly utilis hon. Members have been asking them ed or there is lavishness about it, the selves, this question. What are the people will grudge. There is lack ot major issues that are posed by this enthusiasm and a negative attitude is Budget? We have been having con generated and out of it contempt also, tinuous discussion on this matter for in democracy. We want the willing over 4 days. But, 1 have always felt co-operation of die people not only in that it is best that we should try to giving sacrifices, but also for the work analyse the issues not by perusing the e i reconstruction. Therefore, I think, speech, but by perusing the Financial Rs. 74 lakhs for guest house in Rour- Statement. All of us have been talk kela is too high—how many people ing of the Budget as presented. But, utilise it, for what time, I do not in one sense, the two important docu know—for the latest type of sanitary ments to be considered at this stage a n fittings and electric fittings—I think the Economic Survey and the Econo that was not a fair thing that the hon. mic Classification to which hardly any Minister said. reference has been made. The first provides a background and a perspec tive to the Budget. It is a thousand I have to make certain points; at pities that my friend did not have the the time of demands for grants, I will Economic Survey circulated about S utilise that time or 4 days before the Budget was pre sented. It would have been of infi nite advantage to us to have listened Dr. Krialuuswami (Chingleput): to his Budget proposals with a know Mr. Deputy-Speaker, I am thankful to ledge of the background that we have. you for having caught your eye. I As for the Economic Classification, it believe that the Finance Minister is an attempt to cut through the deserves a great deal of more sympa thicket of accounting entries, and thy than he has received today. No balancing entries that a Financial Finance Minister starts with a clean Statement, as an accounting statement, •late. He succeeds to an inheritance is bound to include. Indeed, on this and all inheritances are full of assets matter India is one of the few coun *nd liabilities. In this case, the liabi tries which provides an economic sur lities are not* inconsiderable. Besides, vey and an economic classification there is that formidable and forbid giving an economic analysis and an ding body the Planning Commission assessment The economic classifica- 3*9! Ommmi Ih tig H F8ALG0HA» , HMKSAKA) OntnaDbemmlon5691 H m n a m a fea in economically m u > that there are certain competent sta tagful tanas such things u the amount tistics which a n presented here an of consumption expenditure, of Gov page 11, and I would like the Bouse ernment, and what th* impact of particularly to note the high degree at departmental commercial undertaking! intellectual honesty with which these has been on Government finances, figures have been presented. In fact what has been the net capital forma it was a great surprise to me that tion and what, for instance, is the real Members, hon. colleagues of !«<«*, deficit which we have to cover. should have gone to China, Russia and other countries when there are valu I shall consider briefly some of the able statistics here which can be uti figures in this valuable document It lised to great purpose and to great has been pointed out that so far as advantage. consumption expenditure is concerned, our wages and salaries in 1957-58 were Rs. 185'4 crores; in 1958-59 Rs. 206*4 On page 11 jt is pointed out that the financial assistance for net capital crores, in 1959-60 Rs. 287 crores. It roughly works out at a 25 per cent formation in 1957-58 works out at Rs. 475 crores; in 1958-59 at Rs. 587 increase in wages and salaries during the past two years. How much of this crores, and in 1959-60 at Rs. 536 crores. If it were only financial assistance is due to the increments that we have given I do not propose to determine at made out of our resources, our hard thii staue, but from a rough analysis savings, then there would be no cause for anxiety, for, as every one knows, it appears it would be about 12 per cent, or thereabouts. The increase of in 1958-59, out of Rs. 587 crores, we 18 pet cr>nt requires to be explained. had about Rs. 250 crores of deficit Probably, m future, when we recruit spending, and nearly Rs. 300 crores employees, we should recruit less anc of foreign aid. So, the net amount pay more, and that is a matter which that came from our resources worked will have to be considered not only by out to hardly more than about Rs. 27 the Finance Minister, but also by the or Rs. 35 crores. As far Rs. 536 crores Home Minister, the residual legatee of for the current year, we have been the civil services in this country. told by the Finance Minister that he has already budgeted for about Rs. 222 The other point which I should like crores of deficit spending by the issu to bring to the notice of my friends ance of treasury bills and the remain is this. Are we doing all we can to der of about Rs. 320 crores or so is to reduce consumption expenditure? be met by foreign aid. We are most These figures give an eloquent tale of thankful to the countries that hav* what is happening in our country. given us aid and assistance, but we Interest payments have gone up sharp ought to realise that this is a serious ly, and quite apart from anything, we situation which has to be taken into have a liability to meet, which implies account that we have to find the resources. IWs is my conclusion, and it is not a Let me proceed to deal with the final very heartening conclusion to the Fin and the last item, before I elucidate ance Minister or the Government, that the general argument white is really the civil administration is today eat somewhat interesting. One finds on ing into our resources. In the final page 11 that the net capital formation account supplied in this valuable docu out of the budgetary resources of the ment one finds that deficit on all tran Central Government works out to the sactions in commodities and services following; in 1957-58 it was Rs. 767 works out at Rs. 335 crores. crores; in 1958-59 it was Rs. 866 crores, and in 1959-60 it is Rs. 841 crores We have to take into account same What do these figures reveal? What of the other figures which have been is the conclusion that qpe can draw presented in this very valuable docu from these figures? It looks as though ment Looking into this matter X lad the momentum of public expenditure 5603 General Budget— MABCH u , 1089 General &teeu**icm 5694 [Dir Krisfcnaswami] willing to foot the bill or let us admit h u slowed down; it looks ss though that we are not willing to have so the effect is that the tempo of deve orach of expenditure and that we lopment m not gathering momentum cannot foot the bill Why is it not gathering momentum7 It is this that leads us to ask the basic question, *What are the major issues It is perfectly true that hon Mem posed by this Budget 7 Whither are bers on the other side have made a we drifting* And is it not necessary point about the high rate of taxes I now to take stock of what is happen- am one of those who feel that the mgv> marginal rates of taxation have been particularly high in direct taxes and also in the case of certain commodi 11 hab been one of the excruciating ties on which we have levied indirect experiences, I suppose, of successive taxes But the point, however, is that Finance Ministers to listen to sugges we have to realise that some adjust tions of increased expenditure m this ments in our tax structure would have House to be made Surely, we have not reached the end of our tether in de vising tax expedients or m devising ways and means of getting m more and more resources into the coffer* Shn Yangamani: Successive Fin Deficit spending Shri Tangamani. In one session, we had three Finance Ministers 1 want to pioceed to a more detailed analysis of what has transpired Oui national income, even at constant prices, has increased by 25 per cent Dr. Krishnaswami. Successive Mem over what it was m 1952 Even making bers who have occupied the Treasury allowances for ten per cent of these Benches have been telling us that they increases being absorbed by the in ate willing to listen to constructive crease in population, it still remains suggestions • It has been an excru that there is a 15 per cent increase in ciating experience for many of those our national income smce 1952 Tak who have occupied the Treasury ing the estimate of Rs 10,000 crores Benches to listen to suggestions that as the national income in 1952, one there should be increased expenditure finds that we have a Rs 15,00 crores but when it comes to footing the bill, increase today over what it was in there are anxious searchings and anxi 1952-53 It is found that in the shape ous inquiries made as to whether they of direct taxes, we collected Rs 80 should really foot the bill The time crores more, and in the shape of in has arrived when we should under direct taxes, we collected Rs 310 stand what we are doing Either, we crores It is hardly more than ona- want to incur of expenditure and are fltth or thereabouts It is said that S$05 Ckicetttf S a d g r t- FHALGUNA20, 1880 (SAKA) General Disunion 5696 thu is not enough. But we have to having excise duties at relatively very realise that tin margin rates of direct small rates. Indeed, my hon. friend taxation are high, in some respects so who preceded me, anticipated a por high that they affect incentives and tion of my argument by quoting from have started yielding diminishing re Soviet history In the Soviet economy turn* In the field of indirect taxes also, it was felt that a turnover tax also, our policy of selecting only a few would certainly have a very powerful commodities and year after year in effect in bringing resources into the creasing imposts on them has led to coffers The Soviets also believed in a very strange result Indeed, the deficit spending, but they were also Finance Minister in an eloquent pas excellent collectors, in the matter of sage in his budget speech pointed out getting a portion of the deficit income that there was a decline in revenues they created into their coffers We from indirect taxation and that was here, at least some of my hon friends due to many factors, the most im on this side, have been eloquent advo portant of which he instanced was the cates of deficit spending, but very poor import controls that had been im apologists of increased amount of posed But surely some allowance taxation by some of these resources ought to be made for the very high I therefore want to analyse his argu marginal rates of taxation which we ment from a more academic—and shall have imposed on a few commodities I say also’ —from a more practical point of view What is it that we There is no doubt on the pait of are doing’ It is a strange policy that some of my hon friends—and on the we are following, and I do want to part of many—that we should not rely mention this to the Finance Minister on indirect taxes Undoubtedly, if Instead of our excise duties in many we had been a mature country, indus cases touching as many sections of trially developed, with large num people as possible and being only bers of people who could be bled small, because the higher the excise painlessly, we could have a broad- duty the more are the other complica based system of complete direct taxa tions that follow, instead of that, we tion with little mdirect taxation have now a ery illogical pattern of But the situation today is that we indirect taxation We are levying have to pull ourselves up by our excise duties on commodities on which bootstraps, if we wish to invest and the Government pays a lot Govern if we wish to progress This is the ment contracts for steel and cement point that has to be stressed are considered to be very large Yet the excise duties on steel and cement In this connection, I hn 1’ 1 like to are paid precisely more by the Gov bring to the notice of my hon friends ernment treasury than by the large a certain aspect of the matter which majority of people who are considered has probably escaped thei*- attention to be the private sector Even those Hie national income statistics, which who are anxious to tax the private aw considered to be fairly reliable, sector would do well to sit back and have indicated that the per capita in reflect on the manner in which we are come in our country is around Rs 282 levying this method of taxation per annum. Any family earning more than Rs 1,500 must be considered to Now I want only to bring anothei be above the average Anyone earn small figure to the notice of my hon ing twice this amount is, therefore, friends It has been pointed out that relatively better off. It is inconceiva since 1952-53, there has been an in ble that we can have a system of crease in the gross value of industrial direct taxation which can affect these production of about Rs 1,600 crores people within this region. That is The net value is about 600 crores. It Pwwibly the justification for having has seemed to me a matter of ele eaebe duties spread over as large a mentary common sense that if you number of commodities as possible and oould only think of re-adjustmg our 5 6 9 7 a*m *9*dg*t- UASCBL H. » » Qm*ml O ta *** jjfipl [Dr. Kriahnanrami] But 1 should like also to puma* tfeto matter a bit further. X am not tallrtnt cteb c duties and taxation so as to from the point of view o f toad tram make it more broad-based, we would port operators. I am not talking ( m be able to net in more resources and the point of view o l any swrtianal thus fill in the gap which is very interests. But have you ever < a w serious. What have we done? My hon. across an excise duty which is 4® friend the hon. Finance Minister is per cent ad valorem?—that is the duty a very persuasive advocate. I listened on tyres. It is something which has to him last evening replying to the never been levied and it should asl debate in another place which I am have been levied. In fact I was prevented from naming according to surprised that we allow the tax to the rules of this House. Speaking in mount up so steadily because the that place with considerable animation running costs would be much highrr my hon. friend pointed out that if and looking into all the documents he had imposed a high duty on disel that have been presented to many oil it was with a view to save foreign Members of Parliament—and we also exchange. May I ask him whether receive many representations from that is the whole story of the matter? different interests—I venture to think \ ta> *&. "V laid, 'inert that from the point of the community are certain implications which have to it is extremely unfair to have such be gone into. What are the total im high taxes on these commodities. 1 ports of diesel oil in value? How am not going into the argument about much foreign exchange is spent on the diesel oil being useful for agri diesel? As a result of the new Impost culture once this basic argument is which is very high—everybody ack knocked out that it is for saving the nowledges it from all sides of this foreign exchange. I do not think there House—how much does he hope to could be any more justification for save as a result of this increase in any increase in duty on diesel oil— duty? May I also add that the same high speed or low speed diesel oil. line of reasoning that he has adopt ed for diesel oil would lead also to his I shall only consider a very brief economising on Kerosene which is also argument of some importance. All of to be imported? Kerosene also costs a us are very anxious to help the Fin lot of foreign exchange and if we wish ance Minister. I have indicated cer to save foreign exchange, what at tain steps which might be taken to kerosene? We have to import it at get more resources into our coffers any cost because social and political But I do wish to give this warning conditions prevent anybody from say that if we are not wise in collecting ing that kerosene should not come in the resources we will have a pheno With great deference to my friend the menal increase in prices with all its Finance Minister, may I point out that disadvantages. It is amazing that our the foreign exchange argument is political acumen which shines best— a rationalisation of what he intended when we examine the impact of an to do anda does not carry conviction excise duty on khandsari sugar or to me9 diesel—should desert us altogether, when we consider the question of pricc rising indiscriminately. During Shri Ta&gunanl: it is no argument the past two years, independent of at all taxation system, our prices have been rising phenomenally. Just because the price rises are unplanned and Or. Kriahnanrami: Well, we can be because people have to pay in little a bit pourtegus. There is a possibility bits more and more we cannot ignore that some arguments will occur which the fact of rises in prices which have w « have not taken note of been quite considerable over the vast 5699 <3«neral BudfiWt— PHAtOUNASO, IttO (5AK A) 0 « u m l Discussion 5700 two years. Besides the benefit that commonsense approach’ Budget His accriies from such a price rite does analysis at the economic situation in « 0t accrue to the Treasury but to the country is most realistic, and has other sections created a climate of security and con* fidence To the extent, Sir, he has I therefore feel that sometimes our tried to simplify and make the pre utterances, our impulse to think loud sentation of the Budget methodical, it and talk long, have done moie harm will make the administrative machi -to the community than is realised nery more efficient, and it is my feel Mr. Deputy-Speaker: Therefore, we ing that even the inspection and con should he brief now. trol of the expenditure will be easier and much better Dr. Krttuuswaml: Never before during our history did we ever have I am also very pleased and I would such a bumper crop. Thanks to the like to congratulate the Finance Minis efforts of the Food Ministry and the ter for having reduced the defence harvest, we achieved the record crop expenditure I believe that even with of 70 million tons Yet, what is it that our strained relations with Pakistan— it was rather cautiously that he should lias occurred9 The golden opportunity of building up buffer-stocks has been have approached the question—the allowed to slip Believing that the Finance Minister has acted very boldly and reduced the defence* expenditure. better is the enemy of the good, we If Pakistan were to, take a lesson from thought State trading as the enemy of buffer-stocks, with the result that we this, I believe it would be possible have neither State trading nor buffer- at a future date when both the coun tries can negotiate with each other, ■stocks.' and even though they may not agree It will take a long while before the on other issues if they can be made foodgrains position i The dividend tax has been abolished. IShri Kamalnayan Bajajl But I fail to understand that when tad the individuals, if pooled together the dividend tax has been abolished, no loss or income will accrue to the why the tax on the bonus issues has treasury. With this confidence, when been retained. When the tax on the the budget was presented, the market bonus issues was levied, the then* went up. But after the experts ana Finance Minister had stated that the lyzed the implication on a detailed exa tax on the bonus share was levied mination of the tax structure, it was only to prevent avoidence of dividend found, or at least they believed, that tax. But when the dividend tax itself there is more incidence of the taxes is no longer there, there does not seem on individuals and the companies, and to be any justification for the conti the market, because of that fact, went nuance of the bonus tax, much less the down again. But later on it is the extension or the coverage of the investors who had pushed the market bonus issue out of the premium col back again purely because of the lected from the shareholders. belief in the words of the Finance I would like to make it more clear Minister. that so far as the bonus tax was there, it was only out of the profits when I think, the. House. has not done full ‘issues 'were mate, 'otfi in m "ft haa Justice. As the hon. Member who pre been extended even to the premium ceded me and who gave a great com of the shares if they were collected pliment for the hpncst and the con from the shareholders, and the bonus scientious presentation of the Budget tax will be applicable to them from- by the Finance Minister; I fully asso the year 1900-61 That, I think is, ciate myself with those sentiments very unfair. Another thing is the additional de More than that, it is the commercial preciation allowance which has been market which has given a tribute, a allowed to lapse from the current silent tribute, to the Finance Minister year. Up to 1953, all the depreciation They believed and they say that in allowances, put together, were about spite of the fact that the incidence of 30 per cent, in total. After 1953, the taxes might be more as the ex it was reduced to 25 per cent. But perts say, even then, the assurance of now, after the year 1958, it will be the Fmance Minister that the taxes only 15 per cent. All of a sudden, the are not meant to take any more reve reduction of 10 per cent is a very nue out of the changes made in the great reduction especially for such tax structure was good and the in companies who have gone into a heavy vestors are completely confident about investment of a capital nature on very them. They say that the Finance high borrowings from finance corpora Minister will stick to what he said tions or financial institutions of diff and that if our experts will point out erent kinds. When you apply to the to him the difficulties the changes will financial bodies, you have to submit a be suitably made. This tribute, I feel, statement showing the method of re Is a very great tribute to the Finance payment, the instalments etc, and the Minister, ariH I fully associate myself borrowing that you desire to have wholeheartedly with that They also take note of the deprecia tion allowances of the different cate I would like, at the same time, to gories that will be available to the bring to the notice of the Finance companies and they know that it will’ Minister certain hardships which are be possible for such and such company found and I am sure that, as he has to pay those instalments. But all o f already assured elsewhere, whatever a sudden there is a 10 per cent redac 1s the incidence of the taxes, if it is tion in the allowance, so that those snore or if the hardship is unneces companies which have done very heavy sarily inposed, he will look into the borrowings will find it very dlfictdt natter. to pay those instalments immediately. 9P3 Gtotnrt PKALOUNAM. MW (SAKA) Q m t n lDiscwsim 5704 11 in . cannot have a very long-range policy 1 auatt oufca It d n r that aa far as of the tax structure. But at least for the depredation allowances are con- the Plan period of five yean, there earned, In the leog run, it does not should not be material changes. When make any appreciable difference either the Finance Minister said that he did to the Government or to the com not mean to increase the incidence of pany. But it the depreciation allow taxes, but he wanted to tighten the ance is reduced, the availability of belt and at least curtain civil expen funds for repayment of the loans other diture and plug the loopholes, I think wise is reduced to the very minimum it has encouraged and created a suit and there will be great hardships. Of able climate all round. But it was course, the Finance Minister can argue only to some extent. that he has not interfered with the So tar as the expenditure tax i* additional depreciation, because it was concerned, if the wife and husband only meant up to 1958. Only, he has were assessees in the income-tax not allowed it to continue thereafter. separately and if the allowances were But my pleading is that the termina Rs. 30,000, if they are clubbed together tion of the depreciation allowance for the same amount, it is a very great in 1958 is too technical. All the hardship. If it is the policy of the calculations have been made by Government to reduce it, there should the financial bodies and the companies have been stages for reduction, or always taking into account that this will be continued as it has been done time should have been allowed so in the past, at least for the Plan that the people can psychologically period. People cannot plan year by adjust. Probably the people hit year; they must have at least 5 years mostly would be Maharajas and other for planning. So, this should continue such people. I know the sentiments at least till 1962. I suggest to the of this House. Usually for the rich Finance Minister that it is not going people there are no sympathies. But to result in any loss of revenue to the my only argument is . . . Government in the long run and it Shri Nag! Baddy (Anantpur): We will create great facilities, especially have all the sympathies and therefore to companies which have undertaken the concession. very heavy capital commitment In Shri Kamalnayan Baja): Thank you dustries like chemicals, cement, sugar, very much for the kind words. etc. where the process is continuous and some of the textile mills also will My only argument is that whatever be put to great hardship by not the system of taxation on individuals renewing of this additional deprecia that the House may ultimately tion allowance. approve, it must be there for at least a five years period and immediately there should not be such hardship There is another suggestion. As far created so that individuals may not as the expenditure tax is concerned, it find it very difficult to materially and was only levied last year and the practically adjust themselves to the exemptions were rather few. Even new tax proposals and so dh. If those exemptions are sought to be Then, in the expenditure tax another removed, I have no grudge. My only change which has been made is this. Pleading is that the taxation structure, *pec»lly that which is applicable to Suppose a person has an old house, his own residential house, and he individuals, should not be changed ittaterially from year to year; there wants to repair it and the cost of repairs comes to about Rs. 10,000, «»ould be consistency in the taxation even the amount which will be spent •tructure at least for a period. I for the repair of the house will be •free that in a country like ours, covered by the expenditure tax. Not 2 ? ^ have » growing economy only that but because of the repairs *na development is going on, we the valuation of the house enhancas $705 General Budget— MARCH 11, 1959 General Oiaewitan 57°* [Shri Kamalnayan Baja]] against it the Finance b f Be. 5,000 only, then that increased As Minister value of the house will be taxed again has explained, if it does not cover under the wealth-tax Such anomalies normal repairs, I have nothing very should not be there If an old house much to say on that account. is there and if it is repaired, the amount spent on the repair of the Mr. Chairman: The hon. Member must conclude house should not be taxed Shri Morarjl Desai: On a point of Shri Kamalnayan Bajaj: I will clarification As far as I remember— finish in one minute I am not positive about it—it is the maintenance which is taxed, not the As far as inter-locking of the repairs—maintenance including keep investment m companies are concern ing of servants and also care-takers ed, I have prepared a small statement which were exempted from expendi and, with your permission, I would ture tax, they will not be exempted like to lay it on the Table for taking But the actual repairs of the house mto the records—whatever that you will be there If the house is being would allow repaired, there is no question of enhancing of value of the house But In the finance corporations and if the value of the house is substantial finance bodies like ICICI mostly the ly increased, then the expenditure tax shareholders are the banks, and the and the wealth tax have got to come banks’ shares are held by many com in panies and the companies’ shares are with the individuals The profits made Shri Kamalnayan Bajaj: I am grate by the finance corporations will go ful for the explanation which the through at least three different stages, Finance Minister has given As far three different corporations as the servants and other things are The following is the statement concerned, if they are taken for expen showing net amount left with a com diture tax, I have no grudge If pany shareholder where shares in there is increased valuation because of company “A" are held through two repairs, if that is also taxed under the companies at existing rates of tax and Wealth Tax, I have no grudge at proposed rates D iv id e n d l ) .\ arcd by the Canoany ‘ A ’ R s ioo/-/- A t existing Bates ___ At proposed Rates Gross Tdx Iff Ne income left Gross Tax'S) Ne inum left mcojnc 51 5% or distributed income 4^ % and distributed as „ ... a' divided Com “ B Rs ioo 14a ’’s yi dividend receive d net 100 35 *5 Com “C” Rs -’i iot s-? *10 received .net 5* 30 Dividend Rs o ”7 ^7 36 received by 30 16 5 Com “ D ” I am only asking this that the tax ment and will do the needful to which has been collected from the justify at least the reasonableness and company on a certain income, at least fairness of the tax structure exemption should have been there in the second or third company Other Shri Morarka (Jhunjhunu): Mr. wise it becomes double or treble Cha rman, from the speeches mad* taxation. I think the Finance Minister here, it is evident that many limi- will look into the details of this state Members are not satisfied with the 5707 GmmnU B*d*«t— PHALGUNA2 0 ,1880 (SAKA) Q**eralDuciunon 5708 policy «< deficit financing followed by capital formation would be to the thy G ow n m D t While I i f n e Hat extent of Rs 2JB65 crores I agree that financing cut be carried on the original target of Rs 1,200 crores only id certain conditions and up to a in the Plan is now likely to be exceed certain extent, I do not think that ed and in the final year it may reach deficit financing by itself u good or Rs 1,400 crores That by itself, as I bad. Before I say anything more, I «nid earlier, is neither good nor bad. wuh to make one clarification and You must see whether you see the red that is because of the confusion in the lights or danger signals against any minds of some people who think that more deficit financing And if you deficit financing and inflation are examine that position, what do you synonymous I beg to submit that find? The mam test, and indeed the while deficit financing is a technique, most important test, that you can inflation is a malady If deficit apply in this connection is the test flrmn^ng is carried on recklessly and of price level Has the price level without proper checks, it may degene increased because of deficit financing’ rate into a situation called inflation If you apply this test, I beg to submit There is a basic difference between the that there is an increase m the price two In deficit financing you issue of foodgrains, but is the increase in more currency, but you always create price in foodgrains due to the increas assets These assets may be such that ed amount of deficit financing? I they do not generate production submit no, and my reason ig this, immediately, but yet, they are assets that any rise in the price level due to of value and they always are there to inflationary conditions must have tour back the currency In inflation, cur characteristics firstly, the pnee rise rency is issued sometimes for unpro must be general, secondly, it must be ductive purposes such as financing more or less uniform, thirdly, it must war, etc, and that goes on increasing be more or less everywhere, that is the prices, not because the needs of throughout the country, not more m the people increase, but because the one State and less in another State, people lose confidence in the currency and finally it must be continuous as A situation is created when the the quantity of monev increases currency starts changing goods and If you apply these tests, what do people convert their currency into you find9 Neither has the rise in the anything that they can get hold of price level been uniform, nor general, even though they may never need much less continuous The only rise that particular article we find is m the price level of food grains, and there also, in April 1058 it was 105, in July 1958 it went up to 118, but in December 1958 it came I have said just now that the deficit down to 113, though the quantity of financing which we have earned on money issued under deficit financing has created assets of tangible value has continuously increased There is May I give some figures in support of no nse in the price of manufactured my argument7 During the First Five goods at all Throughout this penod Year Plan, the extent of deficit financ the price level has remained at 108 ing was Rs 421 crores As against Not only this, we find that some of this, the net capital formation during the industries have started producing that period was Rs 1,178 crores from less Production has decreased and the budgetary resources of the Cen why because the consumer demand tral Government alone During the has slackened I would quote one Second Five Year Plan, up to the end sentence from page 3 of the Economic ef the fourth year at the plan, we Survey It says would have had Rs 1,200 crores of deficit financing As against *>»»«, we “ the decline in the output would have created assets or the net of cloth vanaspati and electric 570ft General Budget- MARCH 11, 1MW OMfftf OhiiHilsn 571* (Shri Itoatka] lamps reflects a slackening of con money market. A rigidity of none of them are pending for more the percentage is 1.84. J give this tiua Sva y#a». Apart from Anything figure because our Board of Revenue «jee, this type of inordinate delays is very enamoured of comparative causes such a lot of avoidable harass figures for England. ment and impairs the relationship between the fcax-payer and the tax- eellector. This year, 1 And that our UNO ex penditure has increased from Rs. 67 Then, look at the customs. Every lakhs to Rs. 141 lakhs, and over and day. we hear of lakhs of rupees worth above this, there is a provision for of currency notes being smuggled out Rs. 24 lakhs for a special fund called of this country and a huge quantity the UN special projects fund. I do of gold smuggled into the country. It not know; perhaps we are under obli may sound e lit tie strange, but I am gations to contribute to all these told by a friend of mine that there funds, but certainly these are becom m a particular article which if you ing a little unbearable burden for a import at the Bombay port, you have country like ours. to pay a duty of SO per cent, but if you import the same article at the I said a little earlier that there was Calcutta port, the duty is only ten scope for economy and better utilisa per cent. Is it not absurd? But it is tion of our resources. In support of ttiere. this proposition, I can only give a few examples. The House very well Shri Bane (Buldana): What is that knows about the extravagance in article? our steel plants, the wasteful expenditure at the 8hri Morarka: It is brass tubes. Shipyards, and the meaningly out lay on the military academy at The rough-and-ready method Khadakvasla. In these cases, I have a followed by the excise inspectors in feeling that the spending was unwise tbe matter of tobacco excise leaves and injudicious. much to be desired. Coming to the expenditure side, I Now, take another example, and this feel that there is great scope for 1 find in the budget papers circulated economy, and when I say there is this year. The Hindustan Steel (Pri acope for economy, I feel that that vate) Ltd. was given a loan of Rs. 20*5 ■cope is there in every sector, parti crores from the Government. Gov cularly, in these autonomous corpora ernment had charged an interest of tions. Rs. M lakhs. Now, the Hindustan Steel (Private) Ltd. could not utilise Before I come to the few instances this loan. So, they placed this fund o f wasteful expenditure, I would draw with other private banks and earned the attention of the Finance Minister an impressive sum of Rs. 18 lakhs! On to the cost of collecting taxes. In Rs. 20*5 crores, they paid an interest 1948-49 it was Rs. 7'37 crores; in of Rs. M lakhs and earned* an interest 1467*58 it went up to Rs. 18*55 crores, of Rs. 18 lakhs. Good bus'nest; Sir! that is, more than double, though our Who earns and who loses in these revenue had not doubled. But, for transactions, I do not know. &ot after the!budget year, our revenues have all this is all a demand on the public «ome down by Rs. 40 crores to exchequer, and the money goes from *». 581*45 crores. but the cost has the Consolidated Fund in the form of •dually gone up to Rs. 21-48 crores. a loan, share capital or subsidy. ui terms of percentages, what was 8.8 per cent* before has now gone up take another escafapU. I would to about 4 per cent. Perhaps, It would read in the language of the Auditor «e interesting to know that in England, General in his Report on the Defence J 7TJ OtMfal Budget— MARCH l 1* 1859 Central ZHeeuuiam 5714 [ S h r i Morarka) Services, 1958. In ptn|ri|A 9, he Shri M w uk*: Govamxnant loam H yi: Rs. 40,000 per day by way of interest on it. ‘740 chassis valued at Rs. Is crores were acquired between Now, I cone to another point. Deli 105S-5S, but contracts for the body berately or accidentally, I do not building had been concluded only know, even the present budget h&a the during 1956*57. A further lot of imprint of that foreign professor who 650 chassis valued at Rs. 98 lakhs, again obliged us recently by an en. and obtained prior to 1948, still route visit—Prof. Kaldor. I say this await body building ” because it was his wish that the exemptions in expenditure tax should be curtailed, that personal wealth tax Chassis acquired in 1948 still awaited should be increased and the corpora body building, but in 1953-54, another tion tax should be modified in this order was placed for Rs. 2 crores and fashion and extra depreciation allow the order for body building was given ance should be abolished. in 1956-57 The recurring expend i- this idle equipment must be consider* Now, we had our own Taxation able, not to mention the loss on Inquiry Commission and Shri C D account of their deterioration m Deshmukh had said that the Report of storage mostly in the open the Commission would be treated as the Bible and every now and then we You know where chassis are stored would open it and see what action I am told they are stored somewhere should be taken about it. After Prof. near Poona where the rainfall is very Kaldor came on the scene, his charm heavy, and what must have remained ing personality has been found so after 11 years of those chassis woith dynamic that we completely gave a Rs 98 lakhs, God only knows go-by to that Report and we now turn to the pages of the report submitted It is not our suggestion that enough by Prof Kaldor, which took less than money should not be given to defence about 15 days to prepare The* socuntv of the country is moie impoitant than anything else But then is this the way of utilising public Now, I want to make a general cri funds9 Have we not got some sense ticism about the budget The hon. of responsibility in this maltei’ Finance Minister has said that the Should we elose our eyes completely levenue deficit for the budget year is in the name of defence’ I think these Ks 81 67 croreb With respect to him, are the matters which must attract the 1 would like to differ from him and attention of Government, seriously say that the revenue deficit is Rs. 106 67 crores He has taken a credit The othet day I asked a question in of Rs 25 crores from the past the House Snd the hon. Mmster of reserves, Rs 10 crores from the Steel, Mines and Fuel was answering Reserve Bank, Rs 10 crores from the it. From two firms alone, we have to profit on coinage and Rs. 5 crores realise a sum of about Rs 18 crores from the custodial charges under the The Minister assured that there was Defence Ministry. These items are not no difficulty in collecting it Yet some revenue items and are not met from portion of it is not collected from 1949 the current revenue but from the past X do not know what would have hap reserves, which are much bigger and pened if there were some difficulties if you want to wipe out the whole of it possibly you could have done to. Uri Butt'Chandra Mathur: What So, your actual deficit is Rs 106 63 have we lost by way of interest on it’ crores 57t5 * * g * -n U U s a m iA n ,im H ld K A ) General Discwston 37x6 Sbxi NwMbtr B tan d w : Where are taken to intensify the small saving the reserves to come from if not Irom campaign, (tee of the steps mentioned revenue? by the Minister was that he would allow the withdrawal from the postal Shri Morarka: Reserves are not savings banks by cheques. I have no- formed in this year; they are formed doubt that this system would becom*- in the past several years. But you popular and would show some results. cannot say that they are current But sometime back, I had put a ques revnue___(Interruption*). I listen tion in the House asking for the num ed to my hon. friend very carefully ber of postal savings accounts that are- and I do not dispute his argument. He dead or defunct and I was told that has said: have no taxes but utilise all the number of such accounts was the reserves. Have it that way by all 38,73,681 and the total amount involv means. My point is quite different. I ed was about Rs. 8 crores. I was fur say that so far as the current deficit ther told that every year they declare* is concerned, it is Rs. 106 crores and about three lakhs of such accounts as- not Rs 81 crores defunct. If you take the average^ it comes to about Rs. 21 per account. Mr. Chairman: There will be two There is no attempt, no method and columns: revenue and expenditure. no means to find out the relatives o t Where is it to come? .. (Interrup the account holder and give them this, tions) paltry sum of Rs. 21. The least that our Government could do is to provide Shri Morarji Desal: May I say that a column in the account opening form the deficit now cannot be called where the account holder can mention Rs. 106 crores because that has been the names of his relatives so that in taken into account in the revenues. the- unfortunate exigency of his death You may say that that is not properly or lunacy and so on, the money could done but that is a different matter It be given to his nearest relative. does not become a larger deficit Shri Morarji Desai: Is it the duty of the Government to find out the Shri Morarka: I leave it at that relatives or is it the duty of the rela because I have got two or three points. tives to claim and get the money? The customs revenue last time was anticapted at Rs. 170 crorei but it is Shri Morarka: As the Finance Min actually Rs 136 crores—a mistake of ister knows, you are dealing with a 20 per cent What are the new things particular type of people who are that have happened during this ignorant, illiterate and poor What period which did not enable our would the Government lose. . revenue officers to budget 1* at Rs. 136 crores? The difficulties of the import Shri Morarji Desal: We would lose trade were there. The pattern of Rs 38 lakhs more for finding them import trade was changing; the desire out (Interruptions). to mcrease the export was there and the reduction of the export duty on Shri Morarka: Anyway I will come many things was anticipated. Even to my next argument, r will take then they say that only during the only two minutes more. year exigencies were created and, therefore, we lost this revenue Then Mr. Chairman: He has already the income from the Wealth Tax, taken five minutes more. Expenditure Tax and Gift Tax was estimated at Rs. 17'S crores against Shri Morarka: Much has been said the actuals of Rs. 12*20 crores—agaios* in this House about our foreign loans. a mistake of about 30 per cent. Particularly, one party has been criti cising our taking loans in season and Now, the hon. Finance Minister has out of season I want to give the facts said in his speech that steps are being and figures about this. Jt f t f f Chum t B u ig t - MARCH 11,Ittt OmMlltapiM 57x8 {Shri Morarka] ' p)p to November 1958, the total loans •h ri N ad Ba**y< Mr. Chairman. striv ed from foreign countries— Sir, I have been closely following the loan#, grants or assistance, whatever great tributes that are being paid to .you may call them—is Rs. 1,282'47 the Finance Minister from all comers •crores. Out of this, Rs. 828-04 crores of the House, from Shri Mn—pj te have come from America alone— Shri Morarka and from Dr. Krtitaa- ■alipost 50 per cent If you take into swami to Shri Bajaj, and I have fol .account the assistance from the Inter lowed with great interest the great national Bank of Reconstruction and tributes that are being paid to the Development, this percentage will Finance M.mster and his Budget by increase from 50 to 70 The help all the monopoly capitalist Press In received from Russia is only 10 per the country. They have told us very •cent 90 per cent of our funds have plainly that this is the first time that •come from countries other than Com the country has received the best munists. We need this foregn Budget so far in independent India. exchange. We need these foreign loans. It is no use talking in ttrms of I am not surprised, Sir, at the great theory. They must po nt out alterna tributes that are being paid, because tive sources at better terms. Alter all, we are living m a state of unity m these are hard facts of life It is no diversity. Naturally, from the very use becoming mere theorists and just composition of the ruling Party, as has blaming the people who are giving been explained by one of the Members help to us. And, mind you, we have from the other side, it is very clear got this help from them m spite of that the diversity in talk and the the well-advertised feelings of this diversity in action bnngs together the ■party that our economy is about to unity that is now to be seen within collapse under the pressure of infla the Congress Party. tion. How much harder is the cause The Finance Minister, quite natu of a borrower to borrow money from rally, should be happy for one simple a creditor when at the same time reason, and that is, he has burst the •others say that he is about to become an insolvent? great rocket of socialism that was shot up into the sky at Nagpur by bringing it back to the earth and Shri Mararjl Desal: That shows the smashing it to smithereens. There vitality of the borrower. fore, socialism in talk and monopoly capitalism in action is the basis of th* That true; I {Hurl Morarka: is entire present Budget Even last year, in my ly and respectfully agree. speech, I have told them that it is Now, Sir, a word about the corpo always the case, that whenever peo ration tax Sir, much has been said ple are going to be taxed in hundreds about it, and if I have your indulgence of crores, the Finance Ministry comes for some time I will make that point. forward with the tinkering of taxation on the direct taxes, (which of course Mr. Chairman: You cannot add to gives too many loopholes for even the what Shri Kamalnay&n Bajaj has said. camel to pass) and naturally then Is not much contribution to internal 8bri Morarka: I am going to say resources to be found from the mil something very much different lionaires. The result of all this has been a kind of crisis. I had warned Mr. Chairman: I am sorry. You the Finance Minister last time that he -tfumld have divided your time accord was taking charge of the economy at ingly. You have already exceeded the country at the time of internal four time. resources crisis, at the time of foreign exchange crisis, at the time at a h » i Shri Monika: Sir, I submit to your of crisis on a world scale in the capi- sulinj. talist world, that It was going to hit m 57I9 O m k I V*AiaBSA»,im and hit us very hard. I was told at offtake has been not as much as we that time by him that a developing expected. Therefore, there is glut in ■economy need not in any way be cement. We did produce more jute afraid o i a recession. and what was the result? The agri culturists suffered due to recession. Let us take the production in our Therefore, an economy which talks country. What have we heard about only of greater production and which it* We know of course what has been does not think in terms of greater our agricultural production. So far consumption and the capacity to pro* as food is concerned, we are deficit. duce, that consumptive capacity in the Therefore, the prices are rising Even people, is going to doom the further with the hundreds of crores of rupees development of the countrj There from America—the great America fore, it is that the rate of industrial that has given us help of Rs 600 production in our country hum year crores—which has given mostly in to year is reducing. what is known as fo o d grains If we do not take this simple econo* Shri Monurji Desai: More than that. nuc factor into consideration, however Otherwise also much the figures show otherwse, it would be d fficult go ehead Mwy Shri Negi Reddy: If we analyse it Figures might be gone into as given in much more, probably in fertilizers the Economic Survey, aid there is no also dovibt about it The Economic Survey has given us certain good facts. But Shri Morarji Deaai: No what is the actual conclusion that we draw from it? From out of the con Shri Nagi Reddy: Probably in trac- clusions, what steps do we expect to 1ors, but so far as the public sector take’ I would say that the Finance industrialization is concerned, we M'nister is completely ro/in# in dark have not received ness, and that is to be expected, An Hon. Member: Wrong. because you cannot expect anything else from him He unfortunately Shri Nag! Reddy: It is there in facts became the Minister of Finance inse^d and figures, and we need not contest of becoming the Minister of Rome it. What has happened to our pro Affairs This is a small feature of duction? There is a production crisis the economic process which must be in the country, and that is because of understood. two reasons One reason is that the ■exports are less, and there is the Shri Birendra ninyitft second reason which is a much more (Raipur): On a point of order, Sir. serious reason, and it is because the The hon Member just now referred consuming capacity of the people is to the Minister. Is that correct par reduced and is going down day after liamentary parlance? day and year after year. Mr. Chairman: It is his surmise!. Take, Am* example, doth. We want Perhaps he hoped he would become a more production. The slogan that was Horn® Minister. He was disappo:nted. Shne 1b the five year plans by the ruling party was “produce more; the Shri Nagi Reddy: Then there is the greater the production the greater question of our foreign trade and will be the wealth of the country”. foreign aid. Let me not say from my We did produce and we produced own mouth, because the Communist/ enough of cloth. There is a glut in words, even if they are true, are not tiie market and, therefore, partially or sometimes palatable Let me, there eampletdy the mills are closing down. fore, quote from Commerce Annual We did produce cement and already Number, December, 1958 in whicb this Economic Survey tells us that quite a number o f articles are written S721 General Budget— MARCH H, 1989 General Mscasrimt 5 7 » [Shri Nagi Reddy] by nun of eminence including the back—India being the moat Secretary to Government in the Min important example—are nowr istry of Commerce and Industry, Shri enjoined by the LMJ*. and file 8 . Banganathan, I.C.S. I will read one financial leaders of the West to sentence from it: live within their means, to cut back commitments and to use the ‘The decline in commodity diminished proceeds el their pre prices which commenced early in cious exports for an increase in the year was later actuated by the the gold reserves.” recession in economic activity “A more unfortunate counsel could which began in the U.S.A in the hardly be possible” is the comment o f fall of 1957 Thus, a large part of Balogh in the Commerce. aid received by the under-deve loped countries was, in effect, Who is responsible for all this? I practically nullified by both a turn should charge the Finance Ministry in the terms of trade and by an for the stage to which it has brought absolute loss in export earnings the country today. This difficult through a fall in the quantum of stage has been mostly the result o f exports of those countries.” the financial policies that have been Living in a capitalist economy, sur enunciated by our Government. Even rounded by capitalist countries, tagged though the talk has been big, action by ourselves to the capitalist trade, we has been small. cannot expect anything more. So, the Every year we have been told that economic recession, which is the phe internal resources have been small and nomenon of the capitalist economy we must increase them What is the naturally hits us. We ought to have way? I would like to show to Gov taken note of this and ought to have ernment one feature which is caus tried to tune our trade to different ing anxiety, (which should not cause spheres earlier So, a little o ' fore anxiety so far as I am concerned, be thought is necessary It is not that we cause in the very nature of things, could not see it earlier. The Finance under this society, it cannot be other Ministry was being warned every wise). For example, in 1948-49, ac >ear, but they did not take note of it, cording to the explanatory memoran with the result that whatever little dum, Annexure II, page 87, the reve aid wc have received has been nulli nue from income-tax, including the fied because of our failure to export corporation tax, has been Rs. 139 to the very countries that gave us crores; let us say, Rs. 140 crores. In that little aid 1958-59, it is estimated to be Rs. 142 crores. After ten years of rule, the The very same people who have revenue from direct taxation, i.e. in been responsible for the foreign come-tax, is now Rs 142 crores. We exchange crisis have now come for have been told that certain sections ward to tell us that we should plan .small There is already a cry, a great of the richer classes are growing demand, in .the country that we should richer every year and monopoly also have a small plan. The crisis to which is increasing its grip over the indus the Government have led the country tries. Then what hag happened? How in the second Plan is leading us direct is it that there has been practically ly to the conclusions which either no increase in the collection of in Mr. Masani or other big capitalist come-tax at all? Some explanation groups in the country are fighting for must be given to the House. Either today. We have been led by the nose, we have not developed and, there I should say. This is what they say: fore, there cannot be any greater in crease in the income-tax collections "Those strategically vital areas or we have developed and whose march towards prosperity evasion has been increasing and cor has suffered an appreciable set ruption within the income-tax: 5723 Oeneral Budget— PHAJLGUNA 30,1880 (SAKA) General DinutHon 5724 department h u been increasing There money, we give loans to an extent must be tome reason, and we must of Rs 20 crores without interest, we be able to find out the reason for it give guarantee for Rs 25 crores for We must apply our mind and try to the international loans and we do not find out the real reason ag to why even take the funds that have accrued to after so many years of planning—we us even to the extent of Rs i t crores are now on the eighth year of plan The only thing that we do not do is ning—there is no increase in the col that we do not take the profits from lection of income-tax Our increase in them The profits are theirs There direct taxation has been practically fore, it becomes pnvate trade or pri JUl vate industry On the other hand, what is the posi Let us see the Audit Report that tion in the matter of excise duty? The has been presented to us In this position in the case of excise duty is there is a funny incident, about which something astonishing The increase questions were also asked in this has been so fast that it is something House Talking about the steel equali like three times that we had before sation fund this Audit Report says at It is gomg to increase still more We page 40 are told that in the Soviet Union in direct taxation is so heavy that it is. "The balance at the credit of heavier than here Well, let me say this Fund had stood at about very plainly that I have not delved Rs 17 crores on the 1st Apnl, into the Soviet economy as closely 1957 It had gone down to as probably the other hon Member Ks 3 78 crores on 31st March, has done But I can say one thing, 1958 The shortfall m the balance and it is clear to me Whatever is is attributable mainly to the de produced in the Soviet Union is con layed recovery from the mam pro sumed by the Soviet people There ducers of steel The delay in re fore, there has not been any recession coveries gives the steel producers or economic crisis there There the the financial benefit in the use of purchasing power of the people has funds without incurring interest been increasing year after year There liability ” fore, We find the material, scientific and intellectual growth m the Soviet We give them loans without interest Union in all aspects of its life There liability We give them guarantee fore, let us not compare ourselves with without ourselves getting any material somebody else Let us see how much benefit out of it We show them the we follow the precepts that we have markets and give them the prices that been talking about On the basis of they ask for without getting any that, if we see very carefully, we find material benefit, so far as we are con we are talking of socialism, socialist cerned Of course, it is called private economy, developmental economy, trade or private industry tightening of belts and so on and so forth Who is tightening his belt9 If the public funds are used in the One thing is clear The common man manner m which the Government is has tightened his belt much more than using them at present, it is very clear anyone else has done that instead of the public sector it is the private sector that is going to be The monopolists have been reaping developed at a faster rate It has the profits, and they call themselves happened all these years and, natu private industrialists and private trade rally, the Second Plan is in a crisis At the same time, private industry also is being developed with public In the end, before coming to smal money But the profits are private ler things about which I shall finish There is no doubt about it Let us m two or three minutes, I will have take the steel industry We invest to speak abopt what is known aa 57*3 General Budget— MARCr llf j u » OtntartA P tscaseiM J7*$ t«hri Nagi ReddtyJ foreign equity capital. In the last tern of society and should fa* Budget speech, when 1 talked about adopted at once.*’ this, 1 was told that there is no difference between foreign equity Fifty-fifty: beautiful. I do not know capital investing itself in India and what socialism it is. foreign aid or foreign loan. It is a fanny argument that I heard. I am Shri Merarji Desai: We are sitting not able to swallow that argument so at one end; you are sitting at the far. other end. Shri Morarji Desai: Who said that? Shri Nagi Reddy: I would like to remind the House of a passage in the 8hri Nagi Reddy: You said it. Bunch of Letters which I was going through a few days back which the Shri Morarji Desai: I did not say. then Pandit Nehni, now the Prime Minister Nehru had written to one of Shri Nagi Reddy: Your Deputy told his friends Fortunately, he had touch us; there was an argument in the ed on foreign private capital Here it House When r cross-questioned' m this House, my cross-question was answered from the other side You “Prof Shah seems to imagine may go through the debates I am that some people in India do not not at all worried about it. realise that the control of key industries is in the hands of Shri Morarji Desai: I did not say foreign exploiters. He blames our leaders as if they are consenting Shri Nagi Reddy: If you have not parties to this This is really said it. I am glad. All the same, I extraordinary. Every Indian dep would like to remind the House that lores the growth of foreign vested foreign private capital is a very dan interests m our industry and gerous thing m any country. There continuous efforts have been has been a demand being raised by made to check these the monopolists in this country that foreign private capital should be al “To talk of our leaders commit' lowed even into the oil industry We ting the crime of Moghul Em have already allowed them. There perors—please note—to talk of our « no doubt. After Independence, we leaders committing the crime of ”*ve allowed foreign private capital Moghul Emperors and allowing to come and invest in the country m foreign trade to pass into the our refineries. We are doing it also hands of European adventurers is m the new oil company that we have amazing.” established. We know the Middle *Mt politics, how dangerous it is Shri Nanshir Bharucha (East Khan- Todmy, socialism is so vague that one desh). What is the date? «f our greatest socialists of the age «four country, that is, Birla’s paper,’ Shri Nagi Reddy. 1939 or 1M0; Battem Economist, has given us In whatever it is the smallest sentence possible a defi nition of socialism. I would like the An Hon. Member: Twenty years old. * * M«urter fo hear and probably t*U me whether it is true or not I Shri Nagi Reddy: That means, «m not able to swallow it. it says every month, every day, theory of "The fifty-fifty agreement—-with economics changes. I have no idea of the foreign firm—is both fair and that at all. If a socialist pattern of compatible with the socialis* pat society is to be taken as foreign pd- vote investment of capital to be fjH j 6 M*nd BM>H FHA1XHWA 2ft. iSAKA) Cfmml Discussion 572? tM M M d m w f t coontiy, * most as propriation Bill will have to be passed tounding theory to enunciate, let us be here *0 that it is passed ut the other plain what We are going to tell the House on the ISth when it closes. people. In this way, I would only warn the Government that you are Mr Chairman: I find there Is also dragging the country into the mire this motion on the Law Commission's o t capitalist cnsia, dragging the Report at 4 O’Clock tomorrow. country into what I would call stale mate in economy, you are ^bragging Shri Morarji Desai: That will have the country into what I would say to be postponed to another day. food crisis and production crisis in the country and all this is going to Mr. Chairman: I am afraid the lead to greater unemployment and Minister of Parliamentary Affairs is therefore to greater troubles in our not here It looks as though it may country I would only request the have to be postponed Government to see this At this rate I do not know whether the common Shri Rane. I was just talking about man of the country would be able to the same thing give that cooperation which the Gov The Deputy Minister of Law (Shri ernment is asking for day after day Uajarnavis): I am agreeable to the The help that they are asking for postponement from the miUionnaire is very probably easy and very possible But, from the common man, it is very difficult Mr. Chairman: I think the sense ot To ask one who has tightened his the House is that it should be post belt as much as is possible, to tighten poned it still more is only to divide him into two to cut him off into different Shri Vasadevan Nair (Thiruvella): portions, which is not possible No, Sir We will be prepared to sit late I would only request the Govern ment to completely change the pattern Mr. Chairman. The House is already of this Budget, to completely change sitting till 6 O'CIock, but the reaL its attitude towards the development point is this, that the Appropriation of the country, and also to complete Bill has to be passed, and fhe hon. ly change its mind so that at least Finance Minister will take about an from now on we can proceed towards hour m reply progress Shri Tangatnam We have been told 18 hrs by the Speaker that each week we will have a motion for two hours, and Shri Morarji Desai* May I say one this week this Law Commission’s Re thing? port has been allotted How are we concerned with the other work? The Mr. Chairman: Before the House other work can go on till Friday adjourns, we have to settle one or two matters Shri Morarji Desai: May I say that Even if we start work at 12 O’Clock, this cannot be postponed, whatever soon after the Question Hour, tomor may be the other work The Law row, the 20 hours will elapse at 3-20 Commission’s Report can be post How long will the Finance Minister poned, but this cannot be postponed^ take? because the Vote on Account has got to be passed in both the Houses Shri Morarji Desal: I will require about more than an hour And then Shri Tangamaai: By tomorrow it ; ***« Vote on Account and the Ap self? 37*9 Ot»cr«I Budget— MARCJf u, 1959 General Discussion 5730 Bfcrl Manurji Demi: No, but the The hon. Finance Minister will take 'Bajya Sabha does not sit after the about an hour tomorrow? 11th, ana therefore that has got to be taken up there on the 18th, and Shri Morarjl Deaal: More than an *!before 8 O’Clock tomorrow it must hour. V finished here, and then it can be sent there. Therefore, it is essential 1*.M hrs. that this must be finished tomorrow. Mr. Chairman: So, I take it that the The Bok Sabha then adjourned till Eleven of the Clock on Thursday, the -motion will be postponed to another ■convenient day. 12th March. 1959/Phalffuna 21, IBM (Saka). f r i t B A it Y i>!6 * £ f $73* [Wtdntsday, March II, i959jPhalgvna 20, 1880 (Saka)) C o u n c m WRITTEN ANSWERS TO ORAL ANSWERS TO QUESTIONS—contd. QUESTIONS. 5475— 55X5 S.Q. Subject V.S.Q. Subject C o l u m n s No. No. i2>97. Power-driven pump industry 5475—79 1124. Purchase of mesta by State Trading Cor 1098. Wool production 5479—85 poration 5522 1099. Show room m Saudi 1125 Indian political prisoner Arabia . 5485—88 m Kuala Lumpur • 5523 1100. Manganese Ore Trade . 5488—92 1127. Discontinuance of pub HOI. Construction of Samadhi lication of newspapers 5523-24 of Mahatma Gandhi 5492—94 1128. Heavy Electricals (Pri XI02. Indiamsation of foreign vate) Limited, Bhopal 5524 firms in India 5494—98 II29. Indian textiles . 5524-25 1103. Accident in North Ku- 1130. Prices o f >ute goods 5.M5 )ama Colliery . . 3498—5500 1131. Industrial Tribunal, 1104. Mineral development • 5500—02 Eraakulam 5525 110$. Shifting o f I.A.S. 1132. Film Institute and Film Training School to Production Bureau . 5526 Mussoone 5503-04 1133. Coir floor mats and matt 1107. Canteens for labourers ings 5526-27 in Delhi 5504— 06 II34- Industrial Estate, Okhla 1108. Implementation of Bagge (Delhi) . 5527-28 Award . 5506— 09 H35- Advisers attached to 1109. Indian visitors to Pakis Planning Commission 5528-29 tan 5509-10 1136. Export o f Indian tex III2. Border raids 55IO-II tiles to Iran • 5529 1113. Absorption of passed II37- Export o f Coffee. 5529-30 out trainees from India coffee depots and Technical Institutes 5511—13 H39- coffee houses . 553® IIX4. Pakistani propaganda <513-14 1140 Export of iron ore 5530-31 i IIS. Betterment levy 5514-15 1141. Geneva Agreement 5531-32 WRITTEN ANSWERS TO 1142. Industrial disputes 5532 QUESTIONS. 5516—76 II43- Abolition of contract S.Q. system in Coal mines 5532-33 No. 1144. Part time personnel of 1106. Automobile producers • 5516 the Planning Com mission • 5533 1110. Supply o f trucks 5516-17 1145 Desertions of displaced m i . Machinery for export of persons from Sau- products 5517 rashtraD.P Homes 5533-34 1116. Trade between India and U.S.S.R.. 5517-18 U. S. Q. 1117. Sarvodaya House Build No ing Society . 5518 1118. Manufacture of electric 1707. Indian trade Centres tools at Mulund abroad ■ 5534 (Bombay) 5518-19 1708. Prime Minister’s visit 1119. Indians in Burma 5519 abroad . 5534 xiao. Sports goods industry 5519-20 1709. Foreign Prime Minis II2X. Report o f the Chief ter s visits to India • S535 Inspector of Mines ■ 5520 1710. Schemes m Jammu and 1132. Supply o f Soda Ash to Kashmir 5535-36 Glass Industry . . 5520-21 1711. Development of handf 1x23. Shortage o f paper in loom industry m Madras . 5521-22 lammu and Kashmir 5536 (m (Ai) L.SJ3.— 9. 5733 £ Daily dwmt] WRITTEN ANSWERS TO WRITTEN ANSWERS TO QUESTIONS—contd. QUESTIONS—contd. V.S.Q. Subject C o l u m n s U.S.Q Subject C ottrUH No. No. 17 1*, Delhi Municipal Cor poration 5536-37 1743 Technical institutes in U.P. and Himachal 1713. Film producing com panies in India 5537 Pradesh • 5554-35 Strike by Calcutta Dock 1714. Technical training cen 1744- tres in Bombay State 5537 workers • 5555-5* Accidents in stone 1745- Printing capacity of 17x5. Government Press quames • 5538 New Delht 5556-57 Class factories in Orissa 5538 17x6. 1746. Small Industries in 1717. Plan Publicity in Orissa 5538 39 Orissa 5557 n it. Mortgage claims of 1747- Automobile tyre manu displaced banks S539-40 facturing industry • 5557-58 1719. National Sample Sur 1748. Employment exchanges 5558-59 vey Office 554°-4i 1749- Peaceful uses of atomic .Asmsumc * -&> rOrivate / z r a g r - J J S P -te schools • 5541-42 1750- Purchases by the Govern 1721. Small-scale industries in ment o f India 5560 Andhra Pradesh 5542 1751- Export Promotion 1722. Companies in Andhra Council for Spices 5560-61 Pradesh ■ 5542-43 1752. Employees’ State Insu 1723. Flexible Tube Factory rance Scheme 556i at Andheri (Bombay) 5543 1753- Additional resources of 1724. Cotton Textiles Export Orissa Government 5561-62 Promotion Scheme . 5543-44 1754- Labour laws in Hima I72J. Industrial Estates in chal Pradesh 5562 West Bengal • 5544-45 >155 Installation of too Kw. 1726. Training of welfare short wave transmitter personnel 5545 at Delhi 5562-63 1727. Industrial disputes in 1756. South Africa-born Indians 5563 Mysore 5545-46 1757. Stnkc of clerks of Dock 1728. Industrial disputes 5546 Labour Board, Calcutta 5563-64 1729. National Labour Rela 1758. Export of mica and tions Board 5546 tabacco to Belgium . 5564 1730. Uniform wages for plan 1759. Export licences of cotton 5564-65 tation workers 5547 1760. Foreign emporia 5565-66 Manufacture of textile 1731- 1761. Export of hides and machinery 5547-48 skins to U.K. and 1732. Manufacture o f small U.S.A. . 5566 tractors ■ S54S 1762. Magazines and Periodicals 5566-57 Closure of tea gardens I733- 5549 1763. Employees of the 1734- All India Radio . 5549-50 C.P.W.D. <567 *735- Nangal Fertilizers and 1764 Chaldean Syrian Bank Chemicals (Private) Ltd. Tnchur . 5568 Limited 5550-51 1765. Bone digesters 5568-69 1736. Trade with U.S.S R . 5551 Paper 1737. Jute trade • 5551-52 1766. 5569 Village housing projects 1738. Export of raw jute 5552 1767. 5569-70 Industrial output 1768. National Advisory Com I739- 5552-53 mittee on Public Co 1740- Consumer price index operation 55*70 number in Kanpur • 5553 1769. Nangal Fertilizers and 1741. Indian Labour Con Chemicals (Private) ference . 5553-54 Limited . 5570*71 7742- Nangal Fertilizers and 1770. Export of umbrellas 551* Chemicals (Private) Industrial disputes and Limited ■ 1771. 5554 lock-outs 5S7r-v* 5735 { t>JULT thaWBT ] 5 ?£« WRITTEN ANSWERS TO C olum i>s QUESTIONS—contd. ARREST AND CONVICTION U.S.Q. Subject C o l u m n s OF A MEMBER—contd. No. Rohtak under Section 143, 177*. Acquisition of proper* Indian Penal Code, for being ties at Lhasa (Tibet). 5572 a member of an unlawful 1773- Trade with Switzerland 5572-73 assembly in the District Courts, Rohtak and sen 1774. Educated unemployed tenced to two months’ simple in Punjab . 5573-74 imprisonment and a fine of 1775. Licensing of new facto Rupees two hundred or in ries in Punjab 5574 default to undergo one 1776. Local development works month’s further simple schemes in Andhra . 5575 imprisonment. 1777' Employment for dis REPORT OF COMMITTEE placed persons 5575 ON PRIVATE MEMBERS’ 1778. Rehabilitating displaced BILLS AND RESOLU persons from East TIONS PRESENTED 5580 Pakistan in Bra) 5576 Thirty-seventh Report was OBITUARY REFERENCE . 5576— 78 presented. Shri G. B. Pant, Shri R.K. Khadilkar and the Speaker ANNOUNCEMENT BY made references to the pass SPEAKER . 558i ing away of Dr. M.R. Jayakar The Speaker made an annou who was a member of the ncement regarding circula former Central Legislative tion to members of reports Assembly and the Consi- of Government Companies tituent Assembly o f India . prior to their being laid on Thereafter Members stood in the Table of the House under silence for a minute as a sub-section ( 1) of Section mark of respect. 639 of the Companies Act, 1956- PAPER LAID ON THE TABLE 5579 ( 1) A copy of statement cor STATEMENT BY MINISTER 5582-83 recting the statement made on the 8th December, 1958 The Deputy Minister of Ex in response to a Calling ternal Affairs (Shrimati Attention Notice by Shri Lakshmi Menon) made a Rajendra Singh regarding statement regarding firing f-ll in jute p:| :es. by Pakistanis on the Assam border. (2) A copy of Notification No. G.S.R. 243 dated the 28th GENERAL BUDGET—GENE February, , under 1959 Sub- RAL DISCUSSION . 5584—5730 Section (3) of Section 8 of the Cinematograph Act, 1952, General discussion on the Bud making certain further get (General), 1959*60 con amendments to the Cinema tinued. The discussion tograph (Censorship) Rules, was not concluded. 1958. ARREST AND CONVIC AGENDA FOR THURSDAY, TION OF A MEMBER . 5579 -go MARCH rz, 1959/PHAL- GUNA 21,1880 (Saka) . The Speaker informed Lok Sabha that he had received Further general discussion on two wireless messages dated the Budget (General), 1959- the 10th March, 1959, from 60. Vote on Demands for the Superintendent o f Police, Giants on’ Account for 1959- Rohtak intimating that 6a Consideration and Chaudhary Pratap Singh passing of the Appropriation Daulta, Member, Lok (Vote on Account) Bill, 1959* Sabha was arrested on the and the Chartered Accoun xoch Match, 1959, convicted tants (Amendment) Bill, on the same day by the addi 1958 as passed by Rajya tional District Magistrate, Sabha. not dangerous, said ance Ministers have been going away my hon frienJ Shn Asoka Mehta this morning, but he forgot to suggest two corollaries which follow from that Dr Knshnaswaml. Successive Fin principle that he propounded The ance Ministers have gone away, just first maxim is that deficit spending as successive Members of Parliament should be concentrated on projects have gone away Each dog has its which are quick-yielding and the day, and I suppose it applies to Mem second maxim is that the income which bers of Parliament as well as to those is injected into the community stream, on the Treasury Benches or at least a portion of it, should And its way back into the treasury coffers imposition of salt tax On this matter It is encouraging, Sir, that m the the Finance Minister belongs to old present Budget the income-tax, super morality But when times have alter tax, the wealth tax, the family of all ed, old morality ceases to have virtue. these taxes, have been rearranged in 7n the present juncture when it is a manner so as to simply and make virtuous to collect as much money as it more effective The dividend tax possible from different sources our old and wealth tax on companies have morality should not stand in the way been abolished. As a matter of fact, tif collecting money even if it involves we should not say that they have scrapping of prohibition been abolished, but they have been really merged with other taxes, so that Shri Kamalnayan Bajaj (Wardha): according to the assurance of the Mr Deputy-Speaker, Sir, it is my Finance Minister the revenue from pleasant duty to heartily congratulate these taxes will not be less if all the the Finance Minister for presenting a taxes are taken together, and the in straightforward, businesslike and a come from the revenue of companies 390 (Ai) L.S.D — 8 General Budget- UMX# » > .» » OeMirf iHscwftoii J T »