Previous Budget Speeches



Economic Survey 1983-84

The economic situation in the State during 1983-84 commenced against a slight set back in agricultural sector during 1982-83. The State Income of Andhra Pradesh at constant (1970-71) prices during 1982-83 registered a marginal increase of 0.4 per cent over the previous year against a rise of 13.0 per cent in 1981-82 over 1980-81. During 1982-83, the State produced 111.77 lakh tonnes of foodgrains against 114.17 lakh tonnes in 1981-82. The decline was due to unfavourable seasonal conditions. Despite increase in power generation, the average index number of industrial production in the State adjusted for seasonality recorded a marginal decline consequent on the fall in production in most of the selected industries due partly to the labour unrest. The index number of wholesale prices of agricultural commodities as well as the consumer price indices in the State witnessed increases but the increase in consumer price indices was comparatively far less than the increase at All India level.

State Income

The State Income of Andhra Pradesh was estimated at Rs.8,817.01 crores at current prices for the year 1982-83. It was higher by 5.8 per cent than Rs.8,335.55 crores of the previous year i.e., 1981-82. The percapita State Income at current prices stood at Rs.1590 in 1982-83 compared to Rs.1536 in 1981-82, registering an increase of 3.5 per-cent over the latter year. In absolute terms, the State Income at current prices in 1982-83 showed an increase of about Rs.481 crores over 1981-82. The share of primary sector in the State Income at current prices was of the order of Rs.4560.53 crores, that of secondary sector Rs.1562.60 crores and that of tertiary sector Rs.2993.88 crores.

The State Income at constant (1970-71) prices, stood at Rs.3911.83 crores in 1982-83 which was higher than that (Rs.3896.00 crores) in 1981-82 by only 0.4 percent. This growth rate was lower compared with 13.0 per cent achieved in 1981-82 over 1980-81, due to the decline in the production of primary sector during 1982-83. Consequently the per-capita State income at constant prices resulted in a decline in 1982-83 which stood at Rs.706 against Rs.718 in the earlier year i.e., 1981-82.


The State has achieved significant break through in the field of agricultural production. Since 1973-74. This was possible due to the improvements in the agricultural technology in the State. The overall emphasis has been on increasing production and productivity of agriculture in general and that of food grains in particular. The maximum production of 114.17 lakh tonnes was achieved during 1981-82 which was largely due to the result of dissemination of the new agricultural technology. However, during 1982-83, when drought conditions prevailed in many parts of Telengana and Rayalaseema , the foodgrains production was at 111.77 lakh tonnes, second only to the record level of 1981-82. Even the commercial crops such as Sugarcane, Groundnut and Cotton suffered a decline in production during 1982-83.

During the current agricultural year 1983-84, the South West Monsoon was delayed by about a fortnight and there were no regular monsoon rains upto 23rd June, 1983. Under the influence of a deep depression in the Bay of Bengal which lay centred about 200 K.M., east of Kalingapatnam, there were widespread rains from 24th to 26th June, 1983 in North Coastal Andhra and North Telengana regions and moderate rainfall was recorded in the remaining districts except Cuddapah, Rangareddy, Hyderabad, Nizamabad, Medak and Mahbubnagar districts. In June, 1983, the State as a whole received an average rainfall of 117 against a normal of, i.e., an excess of 9 percent. During July, 1983, though the monsoon was not active upto 10th, it revived and caused good rains all over the State excepting Anantapur district especially in the last week of the month. During the August, 1983, the monsoon was vigorous in all the three regions of the State. There were have to very heavy rains in Godavari basin, viz., East Godavari, West Godavari, Nizamabad, Warangal, Khammam, Karimnagar and Adilabad districts. Due to heavy rains, there were floods to the Godavari River and streams and rivulets in these districts causing adverse affects on human and cattle life and property. The standing Kharif paddy crop in parts of East Godavari and West Godavari districts were submerged and dry crops in parts of Nizamabad, Karimnagar and Adilabad districts were also adversely affected. During the September 1983, the State received copious rains, the average rainfall being 276 which was in excess by 64 per cent over the normal of 168

During South-West Monsoon period of June to September, 1983, the State received an average rainfall of 901 against a normal of 602 or an excess by 50 per cent. The rainfall was in excess by 45 per cent in Coastal Andhra, 55 per cent in Rayalaseema and 52 per cent in Telengana. All the districts in the State received excess rainfall which ranged from 5 per cent in Srikakulam district to 100 per cent in Prakasam district over their respective normals.

On 3rd October, 1983 a severe cyclone crossed the Coast at Visakhapatnam and moved slowly over to Bhadrachalam and them to Nizamabad. It was stationary over Visakhapatnam, Bhadrachalam and Nizamabad for several hours. Due to its slow movement, the cyclone picked up terrific volume of rain-bearing clouds and the precipitation all along its course was very heavy ranging upto 300 in a span of 24 to 48 hours. Such a copious rainfall within a short time caused floods in all rivulets. The rainfall and floods caused floods in all rivulets. The rainfall and floods caused enormous damage to the standing crops, roads and railways, irrigation sources, drainage systems and other public and private property in 18 out of 23 districts.

During the month of October, 1983, the rainfall received by the State as a whole was 185 which was more than the normal rainfall by 53 per cent. Normally during the month of November, all the districts of Coastal Andhra region and Cuddapah and Chittoor districts of Rayalaseema region receive moderate rains while the remaining districts receive little rainfall. This year rains have, however, failed during November but the failure in general, did not lead to any adverse affect in view of earlier good rains. During this month, rainfall received by the State as a whole was 16 which was less than the normal rainfall by 76 per cent. The rainfall received normally during the month of December is insignificant in all the districts of the State excepting Prakasam, Cuddapah, Chittoor and Nellore. But this year Chittoor and Nellore districts have received heavy rains in December due to the depression in the Bay of Bengal. The rainfall received by Cuddapah district was more or less normal while the rainfall received by all other districts was insignificant.

The total rainfall received by the State during the period of North-East Monsoon i.e., October to December, 1983 was 224 which was more than the normal by 11 per cent. Regionwise, the rainfall received during this period was 282, in Coastal Andhra 161 in Rayalaseema and 198 in Telengana, the deficit being 11 per cent in Coast Andhra and 24 per cent in Rayalaseema and excess being 108 per cent in Telengana.

The heavy rains of August and the cyclonic storm of October, 1983 affected crop yields in East Godavari, West Godavari and all district of Telengana other than Rangareddy and Nalgonda. In all these districts, the yields of most of the crops covered by crop cutting experiments declined over the previous Kharif season.

Though crop yields suffered in a number of districts, the outlook for production is bright due to an increase in area under several crops and due to increase in yields in the districts not affected by the cyclone. It is expected that the production of Rice will increase over the last year by about 2.5 lakh tonnes offsetting the decline in output of Jowar and Maize and that the output of other millets will be at the same level as last year.

Industrial Production

Industrially Andhra Pradesh is one of the developing States in the country. According to the latest data on levels of industrial development published by the Centre for Monitoring Indian Economy, the per-capita value added by manufacture covering the factory sector in Andhra Pradesh worked out to be Rs.109 as against Rs.167 for All India during 1979-80.

As regard industrial production, 18 industries from out of 43 selected industries, recorded an increase in production during the period January to November, 1983 as compared to the corresponding period of previous year. A sizeable increase in the out put was evident in the case of Motor Vehicles (Body Building) (47.8 per cent) followed by the industry manufacturing M.S. Rounds, Bars, Flats etc. (37.2 per cent), Heavy Electricals (25.3 per cent), Detonators (21.9 per cent) and Electronic Equipment (19.0 percent). It varied between 3.0 to 15.8 per cent in respect of House Service Meters, Refrigerators, Generation of Electricity, Oxygen, Ferro Alloys, Sugar, Wines and Rectified Spirits and Cotton Yarn. The rise in output was marginal in the case of conventional coffee packed, Vanaspathi, Instant Coffee packed, Cement and Electrical Cables. On the other hand, 25 industries revealed a fall in production. Highest declined was noticed in respect of Bakery (77.5 per cent ) followed by Glass (49.0 per cent), Motor Cycles (48.4 per cent), Rayon Yarn (25.0 per cent) and Machine Tools (24.5 per cent). The decline ranged between 3.5 to 20.2 per cent in the case of Acetic Acid, Ball and Roller Bearings, Water Coolers, Forgings, Asbestos Cement, Jute, Paper, Rayon Fabrics, Cigarettes, Transformers, Tea packed, Petroleum products, Drugs and Pharmaceuticals, Chemical Fertilizers and Diesel Engines. It was marginal in the case of D/Acetylene, Cotton Fabrics, Coal, Dry Cells/Dry Battery cells and Tanning.

Index Numbers of Industrial Production

The average index of industrial production in the State during January to November, 1983 with base 1970-100 adjusted for seasonality stood at 235.5 as against 239.2 during the corresponding period of previous year. During the period under review, out of 17 industry groups, 6 industry groups indicated increase in indices. Highest increase in index was observed in the case of Metal products except Machinery and Transport equipment (16.7 per cent) followed by Misc. group (15.8 per cent), Basic Metal products (13.3 per cent ) Generation of electricity (11.8 per cent), Beverages (3.1 per cent) and Leather and Leather products (1.8 per cent) . On the other hand, fall in indices was evident in the case of the remaining 11 industry groups viz.; Machinery except Electrical Machinery (200.00 per cent) followed by Transport Equipment (13.2 per cent), Chemical and Chemical Products (11.7 per cent), paper and paper products (10.8 per cent), Tobacco and Tobacco Products (8.4 per cent), Petroleum and Petroleum Products (6.5 per cent), Food (5.6 per cent), Textiles (4.1 per cent), Electrical Machinery (1.0 per cent), and Mining and Quarrying (0.6 per cent).


Electricity Generation in the State during January to November, 1983 rose considerable (11.9 per cent ), compared to the corresponding period of previous year.

Labour Situation

The labour situation in the State during the period from January to November, 1983 was some what unsatisfactory as the total number of mandays lost during the period under review was higher when compared to the corresponding period of 1982 (20.16 lakhs against 9.77 lakhs. This was mainly because of the strike in four Jute mills and Andhra Pradesh Paper Mills as a result of which mandays lost amounted to 14.84 lakhs.

Employment situation

The employment situation in the State during the year 1983 (January to November) indicted improvement as the total number of vacancies notified to the Employment Exchanges rose by 27.6 per cent i.e., from 50,518 in 1982 to 64,440 in 1983 (January to November) while the placements increased from 27,603 to 32,498 during the same period.

Price Situation

Wholesale Price Indices

The index number of whole sale prices of Agriculture commodities in the State with base 1970-71=100 which stood at 233.7 during January, 1983 though recorded a fall in Febuary,1983, reached a peak level of 285.0 in August,1983. Subsequently, it had come down to 267.4 during October,1983 but increase again to 272.4 in November, 1983. Compared to November, 1982, the index of wholesale prices of agricultural commodities in November,1983, rose by 11.6 per cent. Group-wise the indices of all groups except Drugs and Narcotics, recorded a rise during November, 1983. The highest increase in the indices was noticed in the case of Vegetables (67.5 per cent), followed by Fruits(56.8 per cent ), Sugarcane(Gur) (51.5 per cent),Fibres (14.7 per cent), Condiments and Spices (11.5 per cent), Cereals (9.0 per cent), Pulses (8.2 percent) and Oilseeds (4.0 per cent).

Consumer Price Indices

The average consumer price index for industrial workers for eight selected centers of the State with base 1960=100 which stood at 477 during January, 1983 declined to 468 in March, 1983. It remained static in April , 1983, but increased continuously to 516 in October, 1983 whereas at the All India level, it rose from 495 in January to 558 in October, 1983. Thus, the average consumer price index during January to October,1983 revealed an increase of 12.7 per cent at the All-India level.


The Planning Commission approved a Plan of Rs.826.00 crores for 1983-84. However, the State Government provided a total Plan Outlay of Rs.896.28 crores in the Budget taking into account certain priority requirements for the development of the State-in particular Telugu Ganga Project.

During the course of implementation of the Plan, a careful review of the resources available as well as pace of expenditure was undertaken. The review had necessarily to be more intense than in the past due to enormous increase in the plan outlay of 1983-84 and substantial change of orientation of priorities. Considering the fact that the budget itself started with a deficit and during the course of the year, the State had to face unprecedented floods, the pressure on resources mounted. A number of measures to economize expenditure in Non-Plan were taken and a careful review of the expenditure in the Plan was also undertaken. as a result of these exercises, some down-ward revision of Plan ceilings for some sectors and Heads of Departments was inevitable while in other sectors considered to be of a priority nature an increase was made. Consequently, the revised outlay for 1983-84 is Rs.874.28 crores.

In this background the Annual Plan for 1984-85 was formulated for Rs.978.31 crores after a series of discussions at official level, in Working Groups in Delhi and at the level of Chief Minister and Deputy Chairman, Planning Commission. The Sectoral composition of outlay of Rs.978.31 crores, given in the Annexure, takes into account the following factors: -

(a) Continuance of the priority for Social and Community Services in particular for the Welfare

of S.Cs, S.Ts., B.Cs., Weaker Sections Housing, Youth Welfare, Vimukthi etc.,

(b) enhanced emphasis on Irrigation and Power.

(c) provision for the requirements of Telugu Ganga

(d) need to promote decentralised Planning including provision of Rs.1 crore per district for

district level schemes, and

(e) to provide for innovative approaches like vocationalisation of education, Yuvasakthi,

Government Orphanages.

The broad details of the Plan for 1984-85 in comparison with the expenditure/outlays in the previous years is given in the following Statement.

It may be seen from the statement that there was a huge step up in the outlay in 1983-84 and 1984-85 over the three previous years and that the Sixth Plan outlay of Rs.3100.00 crores would also be exceeded by about Rs.304 crores. Irrigation and Power Sector continued to have highest allocation in all theAnnual Plans and the step up in this sector is significant in 1984-85. The allocation for Social and Community Services in 1983-84 as well as 1984-85 was two and a half times the annual average of the first three years of the Sixth Plan. The allocation for Social and Community Services in 1984-85 constitutes 29.4% of the total outlay followed by 27.2% for Irrigation, 20.4% for Power, 8.6% on Agriculture and Allied Services 5.3% under Transport and Communications and 5.0 % under Industry and Minerals. The Special feature of the 1984-85 Plan is separate allocation of Rs.23.00 crores for crucial balancing investments of non-recurring nature for increasing effective use of capital assets in various districts at the rate of Rs.1.00 crore in each district. The allocation for social and community services in 1984-85 though apparently less by Rs.6.00 crores over the revised outlay for that sector in 1983-84 the actual allocation would far exceed the outlay in 1983-84 since the Special District schemes for which an allocation of Rs.23.00 crores has been made would be having a large segment of programmes in the Social and Community Services sector. However, the allocation in 1984-85 for the Welfare of Backward Classes, Scheduled Classes and Scheduled Tribes has been retained at Rs. 57.00 crores, being the budgeted level of 1983-84. This level is more than thrice the average level of allocations in the first three years of the Sixth Plan.


The total Sixth Plan outlay for Agriculture was Rs.2,177.00 lakhs. The expenditure incurred in the first three year (1980-83 was Rs.981.07 lakhs, while during 1983-84 the anticipated expenditure would be Rs.694.93 lakhs and for 1984-85 the provision made is Rs.848.00 lakhs comprising of Rs.150.00 lakhs for Research and Education, Rs.605.16 lakhs for crop Husbandry, Rs.48.84 lakhs for Horticulture and Rs.44.00 lakhs for Agro-Industries Corporation.

Agriculture is the primary sector of our economy as 70% of population is depending on it. Therefore, Agriculture is accorded high priority. Agriculture Production in the State has made rapid strides during the last twenty five years. The production which was at 59.17 lakhs tonnes in 1956-57 reached a new high of 114.17 lakh tonnes during 1981-82. A break through was made in Agriculture production during mid-sixties with the introduction of High Yielding Varieties, while a significant increase was achieved since 1973-74, the average annual output of food grains having risen from 74 lakh tonnes in the quinquennium ending 1973-74 to 101 lakh tonnes in the quinquennium ending 1981-82 i.e., a raise of 36.5%. This increase is mainly due to growing of High Yielding Varieties, backed with quality inputs and improved technology.

The year 1982-83 started on a promising note with the monsoons setting in time during June, 1982. Kharif sowings were taken up in time in Telengana and parts of Rayalaseema regions, which picked up momentum during July, in most parts of the state except in the districts of Chittoor, Cuddapah, Karimnagar and upland areas of coastal region where the rainfall was inadequate. During July and August, there was deficiency in rainfall in Telengana and Rayalaseema regions. By and large, the rainfall during Kharif season was deficit by 4 % in Telangana and 17% in Rayalaseema regions and 12% in the coastal districts. Paddy transplantation was delayed by a month and all the standing crops suffered moisture stress on account of intermittent dry spell. However the food grains production during 1982-83 was 111.77 lakhs tonnes, compared to 114.17 lakh tonnes achieved during 1981-82, a good Agricultural year.

In the year 10983-84 the South West Monsoon has set on 24th June 1983 with a delay of about a fortnight. The rainfall during June has been wide-spread and more than normal in all the regions of the State and in the State as a whole the rainfall was 117 mm. as against the normal of 107 mm. The monsoon has been vigorous during July, also and the rainfall received was 205 mm as against the normal of 170 mm and exceeded by 21 %. The sowing of dry crops commenced during the last week of June and picked up momentum during July and about 70% of the dry sowings were completed by July end. The transplantation of rice was also completed in about 70% of the area in coast region by the end of July, while in the other regions plantation started just then. Monsoon was active during August also, resulting in wide-spread rains all over the state. The rainfall was 303 mm against the normal of 157 mm registering an increase of 93% over the normal. All the irrigation sources were filled up during the month of August. The transplantation of paddy was completed in about 90% of the area in the State during August and completed by middle of September. As ill-luck would have it, there was a cyclonic storm in the district, of East Godavari, West Godavari, Nizamabad, Karimnagar, Adilabad causing, heavy damage to standing crops during September as it was 276 mm against the normal to 168 mm. The total rainfall during the Kharif season i.e., from June to September was 901 mm compared to the normal of 602 mm registering about 50% increase over the normal. On account of good seasonal conditions there has been an increase in area sown compared to the normal extent. There was a decline in the area under Jowar, owing to the delay in breaking of the monsoon, however which was adequately compensated with the increase in area under oil seeds specially Groundnut.

During the 1st week of October, 1983, severe cyclone hit most of the northern districts, more particularly coastal districts resulting in floods. This has caused extensive damage to the standing crops affecting an area of about 7.48 lakhs hectares of irrigated crops, 7.04 lakh hectares of dry crops and lead to a considerable decline in production of about 9.7 lakh tonnes as the crops were in advanced stage of growth and rejuvenation was not possible excepting in small extent. To mitigate the hardship caused to the farmers, relief measures were provided in the form of "Booster dose" of urea, Plant protection spraying and short term loans. Seed supply on subsidy basis has also been arranged to the farmers for raising Rabi crops.

During October, 1983 a rainfall of 185 mm was received against the normal of 121 mm with these rains all the irrigation sources got filled up again brightening Rabi prospects. During the month of November, Coastal Andhra region and Cuddapah and Chittoor districts of Rayalaseema region, normally receive moderate rains, but rains have failed in November, 1983. However, no adverse affect was there on crops in view of earlier good rains. With a view to compensate the loss in production due to floods in Kharif, an area of about 1.5 lakh hectares is localised for paddy in delta districts in addition to the normal area of 9 lakhs hectares.

According to the tentative estimates the production of foodgrains in Kharif 1983 is put at 76.6 lakh tonnes after accounting for the flood and cyclone damage as against the production of 76.08 lakh tonnes during Kharif 1982. The production of oil seeds in the Kharif is likely to be around 12.3 lakh tonnes as compared to 8.27 lakh tonnes during 1982. Similarly the production of pulses is likely to be about 3.37 lakh tonnes, which is on level with the production of Kharif 1982. During the current Rabi, the seasonal conditions are favourable and special efforts are being made to implement all the Agricultural Development schemes in a vigorous way to step up the production to compensate the losses in Kharif production. A production of about 38.72 lakh tonnes is expected during Rabi. In all an annual anticipated production of foodgrains in 1983-84 is put at 115.3 lakh tonnes as against the target of 115.00 lakh tonnes.

Targets for 1984-85 as finalised by Planning Commission are 125 lakh tonnes under food grains, 6 lakh bales of cotton, 8.5 lakh bales of Mesta, 146 lakh tonnes of Sugarcane and 16.65 lakh tonnes of Oil Seeds. The targets for other important programmes are High Yielding Varieties 44.85 lakh hectares, consumption of chemical fertilisers (N.P.K.) 9.25 lakh tonnes and the Planning Protection Chemicals 15,000 tonnes of Technical grade material.

To achieve the above targets production growing High Yielding Varieties of crops is the main component of the strategy envisaged. This programme is supported with adequate and timely supply of inputs namely quality seeds, fertilisers, pesticides, and short term credit. The main extension focus is given to increase the productivity of all important crops like Rice, Millets, Oil Seeds, and pulses. Dry Land farming is given increased stress for increasing the productivity and stabilise the production of dry land crops, as about 70% of the Agricultural Land is under rainfed farming. The technologies developed by ICAR and ICRISAT in the field of Dry land farming are being popularised in our state in many districts as the results are very encouraging. Various other dry land development programmes are also being implemented in the State. A World Bank aided Rainfed farming Project in Ranga Reddy District is being put on ground in an area of about 25,331 hectares, on water shed basis, comprising of 25 villages of Maheshwaram and Ibrahimpatnam taluq. This area is proposed to be developed with afforestation, grass lands, soil and moisture conservation and crops improvement programme over a period of seven years with adequate financial outlays.

Various other developmental programmes namely community nurseries, seed exchange, minimum yield Guarantee Programme fertiliser promotion, Minikits of various crops and timely plant protection measures are being implemented. The latest technology in Agriculture is made available to the farming community at their door step with the help of training and visit system of etitension.

The Progress made in Agricultural Production in the last 4 years (1980-81 to 1983-84) and the targets set for 1984-85 are indicated below:


As for Horticulture, Andhra Pradesh is endowed with a variety of soils and the tropical climatic conditions and is suitable for raising large number of Horticulture crops. The major horticultural crops grown in the State are mango, Citrus, banana, grapes, coconut, cashewnut and a variety of indigenous and exotic vegetables. Realising the importance of horticulture in the State, the State Government had created a new Department of Horticulture with effect from 1st January, 1982.


The state has about 132 lakh hectares of cultivated area, a major portion of which requires soil and moisture conservation measures. These measures are being implemented in the State for the last 30 years. An area of about 72 lakh hectares still remains to be treated with soil and moisture conservation measures.

There are five divisions comprising 26 Sub-Divisions for taking up soil conservation works in Agriculture Lands. The anticipated expenditure for 1983-84 is Rs.59.50 lakhs and for 1984-85 a sum of Rs.80.00 lakhs is provide, out of which Rs.75 lakhs are for agriculture Department and Rs.5 lakh for Forest Department.


The allocation for Animal Husbandry in the Annual Plan 1984-85 is Rs.315.00 lakhs as against the anticipated expenditure of Rs.278.00 lakhs for 1983-84. The objectives of the Animal Husbandry Programmes continue to be improvement of the Animal Health facilities to ensure adequate production of milk through cattle development programmes, for increasing the production of animal proteins in the form of meat and eggs through sheep, piggery and poultry development programmes and for designing these programmes in a manner to benefit to a maximum extent the poorer sections among the farmers particularly those belonging to scheduled castes and scheduled tribes. As a result of the implementation of Animal Husbandry programmes, it is estimated that the milk production would go up from 26.3 lakh tonnes in 1983-84 to 27 lakh tonnes in 1984-85. Similarly the egg production would go up to 2500 millions and wool production to 27.50 lakhs Kgs. by 1984-85.

During 1984-85, apart from continuing the on-going schemes, it is proposed to strengthen the Veterinary Biological Products and Research Institute, Hyderabad to take up establishment of fodder plots on community basis under Special Component Plan for Scheduled castes to benefit scheduled castes, to distribute fodder Minikits to scheduled castes and in Tribal areas and to establish seed multiplication plots to support the beneficiaries under milch animals production, to distribute breeding bulls for natural services in Tribal areas besides distribution of Rams and Bucks for upgrading the local stock in tribal areas.

For A.P. Meat and Poultry Development Corporation a sum of Rs.56.00 lakhs is provided for 1984-85 as in the current year, out of which is Rs.20.00 lakhs are for share capital contribution and the balance Rs.36.0-0 lakhs are for establishment of Egg Powder factory at Regional Poultry Farm, Saroornagar.


The outlay in the Sixth Five Year Plan for "Dairy Development is Rs.600 lakhs. The Government have already released an amount of Rs.170 lakhs during the year 1980-81, Rs.100 lakhs during 1981-82, Rs.50 lakhs during 1982-83 and Rs.350 lakhs in 1983-84. The outlay provided for the year 1984-85 is Rs.130 lakhs.

The OF-II [Operation Flood-II] programme will be implemented in the specially identified areas in each of the 16 districts in the State with the funds provided by the Indian Dairy Corporation. The Government while agreeing for the implementation of the OF-II programme on Anand pattern have taken a decision to implement similar programmes throughout the State i.e., in all the areas not covered by the OF-II programme. The seven districts which are `outside' the geographical project area of OF-II and also those areas within the OF-II districts itself but not actually covered by the programme as per physical targets during the project period. Further as per the agreement signed by the Government of Andhra Pradesh with the Indian Dairy Corporation, it is stipulated that the Government will have to provide basic infrastructure like land/site, water, electricity, quarters for essential staff etc. required for the OF-II project also. Accordingly Dairy Development schemes are being implemented by the APDDCF with the funds provided by the Government under Plan.

Technical Inputs programme is the back bone for augmenting production. It is proposed to organise the milk procurement and inputs through the Co-operative Societies. Under Technical Inputs Programme Artificial Insemination, Animal Health Cover, Fodder Development, Dairy Extension, support to Village Co-operative, Training of Farmers and Co-operative personnel, etc. will be taken up as per the Anand pattern. The Dairy Development Teams for implementation of the P & I activities are already positioned in these areas and hence started the organisation of Village Dairy Co-operative Societies on Anand pattern. An amount of Rs.56 lakhs is provided towards Technical Inputs programme during the year 1984-85.

With the implementation of Technical Inputs programme, milk production is steadily increasing there by necessitating the expansion and strengthening of processing chilling facilities in some of the existing Dairy Units. Further, under IRDP and other developmental programmes the Government is providing loans to the Small and Marginal farmers and agricultural labourers for the purchase of milch animals. In order to procure surplus milk from the above beneficiaries it will become necessary, to provide additional facilities at certain Dairy Units. For this purpose an amount of Rs.50 lakhs is provided during the year1984-85.

It is very essential to provide facilities for transport of milk in bulk from the chilling centres to the Milk Product Factories. For this purpose, Road Milk Tankers/InsulatedTrucks/Refrigerated trucks have to be provided and for this an allocation of Rs.7 lakh is made for 1984-85.

As per the agreement signed by the Government of Andhra Pradesh with t he Indian Dairy Corporation it is stipulated that the Government will have to provide site for the new Feed Mixing Plants/ChillingCentres. for this purpose an amount of Rs.2.00lakhs is provided in 1984-85.

It is proposed to take up "pre-programme actions" on the Malted Milk Food process and for this an allocation of Rs.15 lakhs is made for 1984-85.

Targets of production and selected Programmes are given in the following table.


For fisheries development, Rs.1457.00 lakhs were provided in the Sixth Five Year Plan of which Rs.854.94 lakhs were spent in the first 3 years (1980-83). The allocation made in 1984-85 is Rs.462.00 lakhs against an anticipated expenditure of Rs.335.00 lakhs for 1983-84.

The major allocations made in the plan for 1984-85 are Rs.148.00 lakhs for fishing harbours at Nizampatnam and Kakinada, Rs.30.00 lakhs for fishing harbour at Bhavanapadu, Rs.79.00 lakhs for village access roads in the districts of Visakhapatnam, East Godavari and Guntur, Rs.15.00 lakhs for beach landing craft with engines, gear etc., Rs.18.00 lakhs for schemes for scheduled castes, Rs.17.60 lakhs for share capital to Andhra Pradesh Fisheries Corporation Rs.15.00 lakhs for schemes for scheduled tribes, Rs.37.50 lakhs of State share for Brackish Water Fisheries, Rs.20.88 lakhs of State share for two national fish seed farms in the districts of West Godavari and Guntur, Rs.15.00 lakhs for improvements to existing fish seed farms, Rs.14.80 lakhs for fish farmers development agencies Kurnool, Medak, Karimnagar and Srikakulam and Rs.8.00 lakhs for fish seed form at Manjira Barrage.

The physical targets and achievements for 1983-84 and 1984-85 under certain items are given below: