Shimla, June 24
The Communist Party of India (Marxist) Himachal Pradesh State Committee has fervently requested the 16th Finance Commission to extend substantial financial assistance to the state, emphasizing its unique geographical, ecological, and economic challenges.
Himachal Pradesh’s 67% forest cover, under strict regulations like the Forest Conservation Act, restricts land availability for agriculture and other revenue-generating activities. This situation positions the state as a crucial ecological asset to India, contributing significantly to carbon sequestration and serving as vital catchments for water sources. The CPI(M) argues that the state’s role in preserving these forests should be acknowledged through increased financial devolution.
Despite progress in literacy and healthcare, Himachal Pradesh faces significant urban-rural disparities due to its low population density and dispersed settlements, complicating the delivery of essential services. The state’s challenging topography and poor infrastructure, particularly the lack of railway networks and inadequate road connectivity, hinder economic growth and market access. These infrastructural deficiencies not only raise living costs but also contribute to economic isolation.
Agriculture in Himachal Pradesh is characterized by small-scale, subsistence farming, with poor infrastructure leading to high production costs and significant post-harvest losses. The state’s agricultural sector is further burdened by inadequate storage facilities and inefficient road networks, resulting in wastage of up to 30% of perishable produce.
The influx of migrant workers, who constitute about 7% of the population, adds pressure on the state’s development infrastructure, necessitating additional financial allocations to support sustainable development. Natural disasters, such as landslides, earthquakes, and flash floods, frequently impact the state, causing extensive damage and requiring substantial resources for recovery.
The CPI(M) emphasizes the need for the Finance Commission to consider Himachal Pradesh’s unique conditions, advocating for increased financial allocations to support sustainable development, infrastructure, agriculture, tourism, and social services. Specific requests include a revenue deficit grant to bridge financial gaps, increased disaster relief funds, zero GST on agricultural inputs, and grants for railway development to enhance connectivity and stimulate economic growth.
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