The Assam Finance Commission was constituted on 23rd June, 1995.
The Finance Commission is constituted by the President under Article 280 of the Constitution, mainly to give its recommendations on distribution of tax revenues between the Union and the States and amongst the States themselves.
The Assam Finance Commission review the financial position of the Local Bodies namely the Panchayats and Municipalities and put forward to the Government the recommendations relating to the distribution between the State of Assam and the Panchayats / Municipalities of the nett proceeds of the taxes, duties, tolls and fees.
State Finance Commission (SFC)
The State Finance Commission (SFC) is a Constitutional body, formed under the 73rd and 74th Constitutional Amendment Act, 1992. It recommends the transfer of funds from the State Government to the Panchayati Raj Institutions and provides suggestions for augmenting their resources. Municipalities and city councils are also brought under the purview of the State Finance Commission as per Article 243-Y.
The Governor of a State appoints a Finance Commission, every five years in accordance with Article 243-I of the Indian Constitution.
Every recommendation of the State Finance Commission and subsequent action taken by the State Government must be brought before the State legislature by the Governor.
Functions of State Finance Commission:
State Finance Commission’s functions are comparable to that of the Central Finance Commission, which, in accordance with Article 280 of the Indian Constitution, is appointed by the President of India and is in charge of allocating central revenues to the Union and state governments.
Some of the functions of the State Finance Commission are:
A State Finance Commission examines the financial position of the panchayats and municipal organizations in a state and offers recommendations to the Governor.
It gives suggestions to the Governor regarding the policies that should control how taxes, tariffs, levies, and toll fees collected by the state are divided between the state and its Panchayati Raj Institutions at all levels.
To implement numerous measures to enhance the financial conditions of various local authorities and Panchayati Raj Institutions.
To serve as a liaison for financial matters between the Union and State governments for local bodies.
The Grant-in-Aid to Local Bodies from the consolidated fund of the state.
Utilising the funds that the state government receives from the Union government.
Disbursement of funds from the State’s consolidated fund to various municipal organizations and Panchayati Raj Institutions of the state.
Measures for the overall advancement of Panchayat’s finances.
Tribal Cooperative Marketing Development Federation of India Limited (TRIFED) was established in August 1987.
It is a national-level apex organization functioning under the administrative control of the Ministry of Tribal Affairs.
It is headquartered in New Delhi.
The objectives of TRIFED are
Socio-economic development of tribal people in the country.
To institutionalize trade of Minor Forest Produce (MFP) and Surplus Agriculture Produce (SAP) collected or cultivated by tribals as they are heavily dependent on these natural products for their livelihood.
To empower tribal people with knowledge, tools and pool of information so that they can undertake their operations in a more systematic and scientific manner.
In 2021, the Tribal Cooperative Marketing Development Federation of India (TRIFED), under the Ministry of Tribal Affairs, launched “Sankalp se Siddhi” – Village and Digital Connect Drive. The main aim of the drive is to activate the Van Dhan Vikas Kendras located in tribal villages.
It also organizes exhibitions like the National Tribal Craft Expo called “Aadi Mahotsav” etc. to promote and market tribal products.
Q5. The term Black Revolution in the present context of India is associated with
Higher exportability of crude oil
Self dependence in the production of crude oil
Improvement in the quality of black soil
Self dependence in milk production
Correct option: (B) Self-dependence in the production of crude oil
Black Revolution: To increase petroleum production, the Government planned to accelerate the production of ethanol and to mix it up with petrol to produce biodiesel. Ethanol is a renewable source of energy and is a by-product of sugar production produced from molasses. The blending of ethanol with petrol has been practiced in the USA and Brazil for over 70 years. The blending of ethanol with transport fuels would provide better returns to farmers, supplement scarce resources of hydrocarbons, and be environment-friendly by reducing pollutants as it helps combustion.
Topic to focus : Economic revolutions
Q23. Which statement among the following is not true about GST council?
It is a statutory body
It is chaired by the PM of the country
It decides the rates of taxes on goods and services except some items
It was constituted by the President of India
Correct option: (B) is not true
Union Finance Minister is the Chairman of the GST Council
In true sense, this Question is wrong.
GST Council is a constitutional body under Article 279A. It makes recommendations to the Union and State Government on issues related to Goods and Service Tax and was introduced by the Constitution (One Hundred and First Amendment) Act, 2016.
The GST Council is chaired by the Union Finance Minister and other members are the Union State Minister of Revenue or Finance and Ministers in-charge of Finance or Taxation of all the States.
Thus, both the option (A) and (B) are incorrect. But, if you have to choose one out of these, then its’ option (B).
Topic to focus : Economic bodies
Q24. The National Bamboo Mission strives to
(i) Increase the area under bamboo plantation in non-forest areas.
(ii) Rejuvenate the underdeveloped bamboo industry in India
(iii) Take over the sick paper mills in the country
(iv) Explore the export market for bamboo
(i) and (ii)
(i) and (iii)
(i), (ii) and (iii)
(i), (ii) and (iv)
Correct option: (A) (i) and (ii)
Objectives of the National Bamboo Mission
To increase the area under bamboo plantations in non-forest Government and private lands to supplement farm income and contribute towards resilience to climate change as well as the availability of quality raw material requirement of industries. The bamboo plantations will be promoted predominantly in farmers’ fields, homesteads, community lands, arable wastelands, and along irrigation canals, water bodies, etc.
To improve post-harvest management through the establishment of innovative primary processing units near the source of production, primary treatment and seasoning plants, preservation technologies, and market infrastructure.
To promote product development keeping in view market demand, by assisting R&D, entrepreneurship & business models at micro, small and medium levels and feed bigger industry.
To rejuvenate the underdeveloped bamboo industry in India.
To promote skill development, capacity building, awareness generation for development of bamboo sector from production to market demand.
To realign efforts so as to reduce dependency on import of bamboo and bamboo products by way of improved productivity and suitability of domestic raw material for industry, so as to enhance income of the primary producers.
Q25. Which one of the following correctly describes Angel Tax
A tax imposed on the super-rich people
A tax relief for doing social work
A type of capital gains tax imposed when startups receive funding, which is higher than the fair market value of shares sold.
A tax relief given to startups for doing innovative work
Correct option: (C) A type of capital gains tax imposed when startups receive funding, which is higher than the fair market value of shares sold.
Angel Tax is a term basically used to refer to the income tax payable on the capital raised by unlisted companies via the issue of shares through off-market transactions. Angel tax is levied on the capital raised via the issue of shares by unlisted companies from an Indian investor if the share price of issued shares is seen in excess of the fair market value of the company. The excess realization is considered as income and therefore, taxed accordingly.
Topic to focus : Taxation types
ECONOMY – Assam
Q29. We often hear the term ‘CTC’ in the context of Assam Tea. What does CTC stand for?
Crush, Tear, Curl
Curl, Tear, Crush
Check, thrash, curl
Check, tear, curl
Correct option: (A) Crush, tear, curl
Crush, tear, curl is a method of processing black tea in which the leaves are passed through a series of cylindrical rollers with hundreds of sharp teeth that crush, tear, and curl the tea into small, hard pellets. This replaces the final stage of orthodox tea manufacture, in which the leaves are rolled into strips. Tea produced using this method is generally called CTC tea or mamri tea.
The first CTC machine was brought into service in 1930 at the Amgoorie Tea Garden in Assam under the supervision of Sir William McKercher.
Topic to focus : Assam Tea
Q32. Which of the following became the first state/UT in India to present an e-budget and stream it live on social media as well?
Andhra Pradesh
Kerala
Assam
Delhi
Correct option: (C) Assam
Andhra Pradesh is the first state to present its budget in the digital format in 2016. However, Assam is the first state to present e-budget and stream it live on social media.
North Eastern Handicrafts and Handloom Development Corporation (NEHHDC) was incorporated on 31.03.1977 under the Companies Act, 1956, to promote the indigenous crafts of the North-East region by connecting craftsmen to prospective markets and generating economic, cultural and social opportunities for creators while adding cultural value for consumers.
The NEHHDC is a ‘Schedule C’ Central Public Sector Enterprise in Trading and Marketing services sector under administrative control of Ministry of Development of North Eastern Region (DONER), Government of India.
Its Registered and Corporate offices are in Shillong, Meghalaya.
The authorised and paid up capital of the Company was Rs.8.50 crore each as on 31.03.2017.
The shareholding of the Government of India in the company is 100%.
It offers a range of products from all the eight North Eastern states of Arunachal Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland, Sikkim and Tripura.
It procures handicrafts and handlooms from artisans and weavers across the region and sale them through its chain of “Purbashree” Emporia located at various locations of Shillong, Guwahati, Kolkata, New Delhi, Bangalore and Chennai.
Additionally it also promotes the crafts of the region at various national and international trade fairs and exhibitions. It also conducts training programmes and seminars for skill, craftsmanship and knowledge upgradation of the artisans and weavers.
Main objectives of the NEHHDC
Providing financial, technical and other assistance to craftsmen, weavers, co-operatives and other establishments
Establish, operate and promote Sales Centres, like emporia, show-rooms, publicity offices and exhibition cells for improving accessibility of the goods.
Organise production through co-operatives, artisans or its own production centres
Promote and operate schemes for development of handicrafts, handlooms and allied products
Training and skill upgradation
Why NEHHDC important
Considering the richness of forest produce and the diversity of tribes in the area, the North East region boasts of a wide range of handicrafts. The region also have thick forest and small scale production of indigenous crafts from these forest resources is an important component of their economy. The population consists of a significant percentage of tribal people who possess immense traditional knowledge and craftsmanship in handicrafts and handlooms. The North Eastern Handicrafts & Handlooms Development Corporation (NEHHDC) aims to preserve this rich heritage and making it productive for the economy.
The North East Handicrafts & Handlooms Development Corporation undertakes activities such as
Monetary support to help meet the cost of production
Technical training workshops to improve/modernise the production process
Capacity building and skill upgradation programmes to boost production
Create and operate sales promotion centres and showrooms to showcase the products
Encourage artisans to engage with cooperatives or the corporation’s own production centres
Launch and implement schemes based on the needs of the handicrafts and allied products sector
‘Purbashree’ Emporia
‘Purbashree’ Emporia has been established as sales centres to encourage purchase among consumers. They source products from craftsmen and stock them for sales. These emporia are located in Guwahati, Shillong, New Delhi and Kolkata. There are two sales promotion offices located at Chennai and Bangalore, to promote northeastern handicrafts in the southern states and at urban centres.
Design Bank
The North Eastern Handicrafts & Handlooms Development Corporation operates a design bank to promote innovation and facilitate customisation of products. It displays an array of designs for the clients to choose from and Artisan groups and entrepreneurs have the option of buying designs for making their handicrafts and handloom products. It offers a platform for the designers to showcase and update their skills.
Samanvay Portal
NEHHDC is a part of Samanvay, a knowledge management portal for CPSEs across India that also works as a search engine. To gather information and share ideas regarding employee experiences, documents, standard operating procedures, and other processes.
The NEHHDC offers a range of services for the benefit of the craftspeople, like Exhibitions, Craft bazaars and Special trade expos, to showcase the beauty and utility of northeastern handicrafts.
Northeastern crafts museum
This museum exhibits artefacts and traditional crafts from across the north-east region.
North Eastern Regional Agricultural Marketing Corporation (NERAMAC)
The NERAMAC Limited was incorporated in the year 1982 as a marketing organization in the field of Agri-Horti sector of the North-eastern region, under the administrative control of the Ministry of Development of North Eastern Region (DoNER). Its registered office is located at Guwahati.
It is a Government of India Enterprise operating under the administrative control of the Ministry of Development of North Eastern Region (DoNER). NERAMAC is a pioneer marketing organization in the field of Agri-Horti sector of the North-eastern region, involved in supporting farmers right from the fields and upto the markets to the end consumers through registered FPO/FPCs.
It was set up to support farmers/producers of North East getting remunerative prices for their produce and thereby bridge the gap between the farmers and the market and also to enhance the agricultural, procurement, processing and marketing infrastructure of the Northeastern Region of India.
NERAMAC is continuously making all efforts for the development of the farmers of the region and double their income by the end of 2022.
The Union Minister for Development of North Eastern Region (DoNER) laid the foundation stone of NERAMAC marketing complex in Guwahati, Assam. The marketing complex will be a destination to showcase the products of the North-Eastern region.
Role of North Eastern Regional Agricultural Marketing Corporation ( NERAMAC)
The main role of NERAMAC is to purchase the marketable surplus of fruits and vegetables from the growers of the North East, to make necessary arrangement for its processing and marketing and to support farmers and producers through input supplies for better productivity under the aegis of Central Sector Schemes.
It associated with the Ministry of Food Processing Industries (MoFPI) for development of food processing in the NE region apart from involving itself in Central Sector schemes like Mission for Integrated Development of Horticulture (MIDH).
It has also taken up assignment to co-ordinate and assist in attracting investment, create awareness on food processing and to assist MoFPI in administering the National Mission on Food Processing in the North East.
NERAMAC has sponsored a Techno-Economic Feasibility Study to look at the feasibility for setting up collection and procurement Centres of agro-horticulture commodities viz. Pineapple, Orange, Ginger, Apple, Kiwi and Passion fruit in nine places viz. Diphu, Haflong, Krishnai (Assam), Bomdila, Roing (Arunachal Pradesh), Churachandpur (Manipur), Vairangte (Bhaga) in Mizoram, Nongpo and Phulbari (Meghalaya).
