New Delhi. In the upcoming budget, the government may focus on measures to increase the productivity of farming along with irrigation facilities and digital agricultural technology. At the same time, a scheme related to incentives for MSMEs can be introduced on the basis of employment generation instead of investment.

A meeting of farmers' association and MSMEs was held on Friday with Finance Minister Nirmala Sitharaman and senior officials of the Finance Ministry for pre-budget discussions. On Saturday, Sitharaman will hold pre-budget discussions with the finance ministers of the states.

Farmers put forward these demands

According to sources, the Kisan Sangh discussed with the Finance Minister mainly on making the agriculture sector profitable and making farming sustainable. The Kisan Sangh demanded to expand the irrigation facilities and the infrastructure related to agriculture. Especially, more emphasis was laid on connecting the farmers with digital facilities.

Some farmer organizations said that 65 percent of the population is still dependent on agriculture, so the amount of subsidy related to farming should be increased. There should be a system to refund the GST levied on various equipment used in farming

Everyone should get the benefit of schemes like PLI

On the other hand, MSME told the Finance Minister that instead of any particular sector, MSMEs of all sectors should get the benefit of schemes like Production Linked Incentive (PLI). Only then more and more MSMEs will be encouraged for manufacturing. Federation of Indian Micro and Small and Medium Enterprises (FISME) told the Finance Minister that in the PLI scheme announced for 14 sectors, there is a provision of incentives on the basis of investment and production, whereas MSMEs should be given incentives on the basis of employment generation.

Incentives should be decided on the basis of employment generation through manufacturing. It is believed that such a measure can be taken in the upcoming budget. The Finance Minister was asked to give interest rate concessions to entrepreneurs registered on the Udyam portal along with income tax exemption to them. Entrepreneurs also demanded abolition of duty on import of machinery.

GST Council meeting on 22 June

The 53rd meeting of the GST Council is to be held in New Delhi on Saturday under the chairmanship of Finance Minister Nirmala Sitharaman. Sources say that there will also be discussions on further strengthening the financial relations and financial sharing system between the Center and the state. A committee has been formed under the chairmanship of the Deputy Chief Minister of Bihar to make changes in GST according to the inverted duty structure, so no decision is expected to be taken regarding the change in GST rates in the meeting to be held on Saturday.

Sources say that some decisions may be taken on further simplifying the GST system for businessmen along with old pending issues.