Odisha's revenue growth in Apr-Oct slows to 2.76%

Total revenue rose from Rs 12,694 crore to Rs 13,045 crore

The state government’s revenue growth continued to be tepid with a mere 2.76 per cent increase clocked in tax and non-tax revenues in the April-October period of this fiscal.

Total revenue rose from Rs 12,694.75 crore to Rs 13,045.27 crore. Non-tax revenue, where mining is the single largest contributor, plummeted 16.77 per cent to Rs 3,582.11 crore by the end of October this year compared to Rs 4,303.77 crore posted in the year-ago period. Tax revenue, however, logged 12.78 per cent rise to reach Rs 9,463.16 crore from Rs 8390.98 crore achieved in the corresponding period of last fiscal.

Within the non-tax revenue basket, mining revenue showed a marked fall of 23.73 per cent from Rs 3,079.77 crore to Rs 2,348.89 crore. Going by the downtrend in mining revenue collection, the Budgetary target of Rs 6,346.98 crore looks challenging to be achieved.

Mining activity is at a low ebb in the state as only 94 out of a total of 600 mining leases are in working state. The state government has suspended operations of 242 mines and temporarily discontinued 142 others on regulatory and clearance issues.

“Slowing revenue is a cause of concern but we hope to achieve the Budgeted targets through collections from piled up arrears in sales tax and also via stamp duty from renewal of a few mining leases,” said a state government official.

Segments in the non-tax revenue bracket that showed negative growth are minor irrigation(17.56 per cent), major irrigation (39.50 per cent), education (56.66 per cent) and interest (54.34 per cent).

In its own tax revenue category, notable growth was seen in segments like state excise (20.55 per cent), taxes on vehicles (26.93 per cent) and entry tax (26.32 per cent).