Union Cabinet extends key schemes including Antyodya Anna Yojana

Under this initiative, the government provides a subsidy of ₹18.50 per kg per month of sugar to the most economically vulnerable AAY households. The extension is expected to encompass more than 10.89 million AAY households, with a total cost exceeding ₹1,850 crore throughout the 15th Finance Commission period (2020-21 to 2025-26).

The Union Cabinet, led by Prime Minister Narendra Modi, has greenlit a series of pivotal decisions, cementing the extension of several key schemes. Among the notable decisions is the continuation of the scheme to distribute subsidized sugar to Antyodya Anna Yojana (AAY) families for an additional two years, extending until March 31, 2026.

Under this initiative, the government provides a subsidy of ₹18.50 per kg per month of sugar to the most economically vulnerable AAY households. The extension is expected to encompass more than 10.89 million AAY households, with a total cost exceeding ₹1,850 crore throughout the 15th Finance Commission period (2020-21 to 2025-26).

Furthermore, the Cabinet has given the nod to a formula for determining the marketing margin on the supply of domestic gas to fertilizer (urea) units, covering the period from May 1, 2009, to November 17, 2015. This move, heralded as a structural reform by the Ministry of Petroleum and Natural Gas, aims to provide additional capital to various fertilizer (urea) units, based on rates already in place since November 18, 2015.

In tandem with these decisions, the Cabinet has extended a scheme offering rebates on state and central taxes and levies for the export of apparel and garments until March 31, 2026. This extension is deemed crucial for maintaining a stable policy regime, particularly in the textiles sector, where long-term trade planning is paramount.

Moreover, the Cabinet has prolonged the Animal Husbandry Infrastructure Development Fund, to be implemented under the Infrastructure Development Fund (IDF), for an additional three years until 2025-26. With an outlay of ₹29,610.25 crore, this scheme seeks to incentivize investments in dairy and meat processing, animal feed plants, and breed multiplication farms.

For international economic relations, the Council of Ministers has given the green light for the signing and ratification of a bilateral investment treaty between India and the United Arab Emirates. This treaty is anticipated to enhance investor confidence, particularly among large investors, thereby spurring an increase in foreign investments and overseas direct investment opportunities.

The approval is hailed as a potential catalyst for bolstering domestic manufacturing, reducing import dependence, and augmenting exports, aligning with the vision of Atmanirbhar Bharat.

Nevertheless, the Union Cabinet’s approval of these key economic decisions commitment the government’s commitment to fostering inclusive growth, strengthening vital sectors, and enhancing India’s position in the global economic landscape. These measures are expected to usher in a new era of economic resilience and prosperity, marking a remarkable milestone in the nation’s journey towards self-reliance and sustainable development.