HYDERABAD: Former governor of Reserve Bank of India (RBI) C Rangarajan suggested that Telangana should take advantage of the cut in corporate tax.
“After the recent announcement by the Central government to cut the corporate tax, especially for the new manufacturing units from 30 per cent to 15 per cent by the Central government, corporate companies are in a mood to set up new manufacturing units instead of expanding the existing ones.
Telangana should take advantage of this,” Rangarajan told State Planning Board vice-chairman B Vinod Kumar.
During a 40-minute interaction here on Friday, Vinod Kumar and Rangarajan discussed various issues ranging from water to food processing units.
Rangarajan opined that the ‘Planning Boards’ in the states and NITI Aayog at the Centre should act as think-tanks to the governments and plan as per the requirements of the governments, review and improve ongoing programmes and schemes.
Vinod Kumar explained to Rangarajan about creation of new ayacut and stabilisation of the existing ayacuts by constructing Kaleshwaram on Godavari and Palamuru Lift Irrigation Scheme on river Krishna.
He also explained about Mission Bhagiratha and Mission Kakatiya. Rangarajan appreciated the government’s efforts on the Irrigation front.
When Rangarajan enquired about the power supply to these mammoth lift irrigation projects, Vinod Kumar explained there was no shortage of power in the State and new power plants like Yadadri and Bhadradri too would be operationalised shortly.
Rangarajan suggested that once irrigation picks up, the State government should concentrate on the “sale of the produce”.