{"id":8800,"date":"2025-02-12T17:31:34","date_gmt":"2025-02-12T12:01:34","guid":{"rendered":"https:\/\/www.udaypunjab.com\/?p=8800"},"modified":"2025-02-12T17:31:34","modified_gmt":"2025-02-12T12:01:34","slug":"centre-treating-middle-class-like-golden-egg-laying-hen-raghav-chadha","status":"publish","type":"post","link":"https:\/\/www.udaypunjab.com\/?p=8800","title":{"rendered":"Centre treating middle class like golden-egg laying hen: Raghav Chadha"},"content":{"rendered":"

NEW DELHI,\u00a012 FEBRUARY 2025-\u00a0On Tuesday, during the Rajya<\/span> Sabha<\/span> budget discussion, Aam Aadmi Party MP Raghav Chadha launched a strong attack on the government\u2019s policies and openly highlighted the issues faced by the middle class, railways, and Indian expatriates. He asserted that the government treats the middle class as a soulless structure\u2014exploiting its very bones\u2014to build a five\u2010billion\u2011dollar<\/span> economy.\u00a0In his speech, MP Raghav Chadha said, \u201cThe poor receive subsidies and schemes, the rich have their debts forgiven, but the middle class gets nothing. The government thinks the middle class has no dreams or aspirations. It is regarded as a hen that lays golden eggs, which are repeatedly squeezed.\u201dHe explained that while the economy may be growing and demand is increasing, this demand comes solely from the middle class\u2014whose pockets remain empty. Census data and surveys confirm that the middle class has its own dreams and aspirations and that their children harbor limitless ambitions. He even quipped, \u201cIn 1989, the movie \u2018Honey, I Shrunk the Kids\u2019 was released in America, and in 2025, India will see a film titled \u2018Honey, I Shrunk India\u2019s Middle Class.\u2019\u201d MP Raghav Chadha further noted that reports indicate a decline in the spending capacity and consumption of the middle class. He stated, \u201cThere is no doubt that a taxable income of 12 lakh<\/span> rupees results in zero tax. But this exemption is not that straightforward. If you earn even slightly above 12 lakh<\/span>\u2014for instance, 12.10 lakh<\/span> rupees\u2014you have to pay tax as per the designated slab.\u201d MP Raghav Chadha highlighted that out of India\u2019s 1.4\u2011billion population, only 6.68% benefit from these tax exemptions. While 80 million Indians file income tax returns, 49 million report zero income and only 31 million actually pay taxes. This statistic, he argued, shows that the true tax burden falls on the middle class.\u00a0He rejected the Finance Minister\u2019s notion that such tax exemptions would boost consumption, adding, \u00a0\u201cConsumption will not increase until GST rates are reduced. GST is paid by everyone\u2014not just by income taxpayers. When the common man pays tax on milk, vegetables, and medicines, his pocket grows lighter.\u201d\u00a0MP Raghav Chadha then contrasted the government\u2019s policies for different classes. \u201cThe government offers subsidies and schemes for the poor and forgives the debts of the rich\u2014but the middle class gets nothing. There are no subsidies, no tax relief, nor does any scheme benefit them. The middle class is like a hen that lays golden eggs, yet the government does not keep it happy.\u201d\u00a0He observed that the middle class is the largest taxpayer yet receives the least benefits. Salaries do not rise, savings remain minimal, and inflation continually increases. For instance, when food inflation exceeds 8%, salary increments are less than 3%.\u00a0MP Chadha<\/span> reiterated that although the middle class is the largest contributor in taxes, it reaps the smallest rewards. \u201cThe middle class is forced to pay tax on everything\u2014books, stationery, medicines, sweets, clothes, housing; every hard-earned rupee is taxed. Their aspirations are crushed under the weight of these taxes. Income remains stagnant while expenses continuously rise. From children\u2019s education to healthcare, the middle class is in a constant struggle.\u201d\u00a0He further explained that many middle-class families become trapped in long-term debt. \u201cEven after a lifetime of work, the middle class has to sink into 20\u201325 years of debt to buy a 2BHK house. Salaries come on the 7th, yet landlords demand rent on the 1st. Loans are taken for higher education, and in emergencies, even gold has to be mortgaged. This situation is only getting worse.\u201d\u00a0He cited the slow growth of FMCG companies like Nestl\u00e9 India as an example, arguing that the middle class is no longer spending as it once did and said , \u201cThe demand for affordable goods has fallen, and people are now reluctant to spend.\u201d\u00a0Turning his attention to the railways, MP Raghav Chadha accused the government of neglect. He stated that while facilities in the railways are deteriorating, fares are rising. Expensive trains such as the Vande Bharat Express are beyond the reach of the common man, and subsidies for the elderly have been discontinued.\u00a0\u201cThe public is charged premium fares, yet there is no corresponding improvement in facilities. Projects like Vande Bharat and bullet trains are designed only for the rich,” said Raghav Chadha\u00a0\u00a0He went on to note that while train speeds are increasing worldwide, the pace of Indian Railways is declining\u2014Vande Bharat\u2019s speed has been reduced, and fares have risen dramatically (from \u20b90.32 per kilometer in 2013\u201314 to \u20b90.66 in 2021\u201322, a 107% increase). Consequently, these expensive trains often run empty because they are no longer affordable for the average citizen. The government\u2019s earlier claim that \u201ceven someone in flip-flops can fly\u201d now seems out of touch with reality, as train travel itself has become inaccessible for the common man.\u00a0The MP also commented on the plight of railway passengers, noting that while the common man is forced to use the railways out of necessity, the Rail Minister appears more captivated by social media reels than by the actual issues of the passengers. He added that compartments once considered \u201cluxurious\u201d (such as 3AC and 2AC) are now in worse condition than general compartments. Despite having booked tickets, passengers are not guaranteed seats; overcrowding is so severe that people are packed together like sacks of potatoes. Even finding space in the restroom has become a matter of luck. He described the unsanitary conditions on platforms, with dirty blankets, foul odors, stagnant water, and insects in the food leading to a 500% increase in cleanliness complaints over the past two years.\u00a0Discussing ticket booking, Raghav Chadha noted that it has become increasingly difficult, forcing people to rely on third-party apps that charge hefty commissions. Cancellation<\/span> fees are exorbitant, platform tickets and station food have become expensive, and fake water is being sold in place of genuine Bisleri<\/span>, with substandard ingredients used in meals.\u00a0He questioned the government by asking how many of India\u2019s 1.4 billion people can afford expensive trains like the bullet train and Vande<\/span> Bharat. \u201cIf 800 million Indians are to receive free ration, how can they possibly pay for tickets costing between \u20b92,000 and \u20b93,000, especially when their monthly earnings are only around \u20b98,000\u201310,000?\u201dMP Raghav Chadha stressed that the country needs thousands of affordable, regular trains rather than a few high-speed bullet trains. In an era marked by rising inflation and unemployment, people demand economical travel options rather than costly high-speed services. In 2020, the railways discontinued travel subsidies for the elderly, affecting 150 million senior citizens.\u00a0\u201cHave our railways become so ruthless that they squeeze money from the frail bones of the elderly? After retirement, the elderly dream of pilgrimage, yet the government has stripped them of even that facility.\u201d\u00a0He urged the government to reverse this injustice and reinstate the subsidy for the elderly so that they may travel with dignity in their later years.\u00a0Raghav Chadha also raised concerns over rail accidents. He claimed that the Rail Minister shows little concern for the safety of the railways or the public. While the Rail Minister touts the \u201cKavach<\/span> system\u201d (a safety mechanism), rail accidents continue to occur almost weekly. Once renowned for safe travel, Indian Railways now offers no guarantee of reaching one\u2019s destination safely. In the past five years, over 200 rail accidents have resulted in 351 deaths and more than 1,000 injuries. For example, the Balasore<\/span> rail accident in June 2023 claimed 293 lives and injured over 1,100 people, yet no concrete action has been taken in the name of investigation and accountability.\u00a0He further criticized the misuse of tax revenues collected in the name of rail safety, alleging that these funds are used not to enhance safety but to purchase luxury sofas and foot massagers<\/span> for high-ranking officials. Referring to the incident in which 104 Indians were deported from the United States, MP Chadha said, \u201cIndians were brought on airplanes shackled and chained. This is against humanity. The government should have strongly protested this, but our Ministry of External Affairs failed to take decisive action.\u201d He added that when Colombia\u2019s President Gustavo heard that the US military was arriving with an aircraft full of expatriates, he refused to allow the plane to land. Instead, he boarded the aircraft himself and assured that a \u2018dignified life\u2019 would be provided in Colombia. He questioned India\u2019s response by asking: Why did the Ministry of External Affairs not summon the American ambassador to express its outrage? Why didn\u2019t India send an aircraft to repatriate its citizens with dignity? And why does such treatment not occur for citizens of countries like Sweden, Denmark, Norway, and the United Kingdom? The MP then referred to the policies of the Trump administration, stating that H\u20111B visa restrictions and tariffs are negatively impacting Indian professionals and industries. He said that American tariffs are severely damaging Indian IT exports, pharmaceuticals, and the automobile sector\u2014putting millions of jobs at risk. \u201cThe H\u20111B visa restrictions will affect Indians the most. In 2023, 72% of the total 386,000 H\u20111B applications were from Indians, which could lead to massive job losses\u2014potentially risking the jobs of around 0.5 million Indians in the US. Additionally, increased H\u20111B visa costs mean that Indian IT companies may have to hire local staff at higher salaries.\u201d He also stated that Trump\u2019s policies will not spare the textile sector. With tariffs of 15\u201325% imposed on Indian garment exports, competitiveness will decline, and exports worth $8.4 billion in 2023 could shrink. In the pharmaceutical sector, a 25% tariff could disrupt the supply of generic drugs to America\u2014jeopardizing 150,000 jobs in Gujarat, Andhra Pradesh, and Maharashtra. Furthermore, he warned that a 25% tariff on the automobile sector could result in a $14\u2011billion trade loss and affect nearly 300,000 jobs. The situation for expatriates will worsen, as stricter measures on illegal immigration and delays in green card processing may cause many Indians in the US to lose their jobs. This, in turn, will increase unemployment in India and create difficulties for returning Indians in reintegrating into the economy. He noted that a decline in foreign currency reserves could weaken the Indian rupee against the dollar. A drop in IT companies\u2019 revenues might result in a reduction of India\u2019s corporate tax collection by as much as $2,500 to $3,000 million. Moreover, such economic challenges will add political pressure. The US may compel India to purchase more defense equipment and could also pressure India to halt defense agreements with Russia. In addition, the US might withdraw the $200 million it provides for health and education.MP Raghav Chadha highlighted that out of India\u2019s 1.4 billion people, only 6.68% benefit from these tax exemptions. While 80 million Indians file income tax returns, 49 million report zero income, and only 31 million pay taxes\u2014demonstrating that the real tax burden is borne by the middle class.MP Raghav Chadha also expressed concern over the depreciating rupee. Citing an SBI report, he stated that a 5% decline in the rupee leads to a 0.50% rise in inflation. He added, \u201cIn May 2014, the rupee was valued at 58.80 against the dollar; by February 2025, it has fallen to 86.70. The rupee\u2019s depreciation has made petrol and diesel more expensive, driving up the cost of everything.\u201d He noted that in an effort to stabilize the rupee, the RBI sold $77 billion of its reserves\u2014reducing them from $701 billion in October 2024 to $624 billion in January 2025. He explained that since India imports 85% of its crude oil, the rupee\u2019s weakness directly impacts fuel prices and, consequently, the common man\u2019s pocket. The depreciating rupee is also causing food inflation, energy inflation, healthcare inflation, education inflation, and electronics inflation\u2014problems that hit the middle class directly. Speaking of electronics inflation, MP Raghav Chadha said that because India imports most electronics and their components, which are priced in US dollars, the cost of smartphones, laptops, and other gadgets continues to rise with the rupee\u2019s depreciation. Even domestically manufactured electronics are becoming more expensive due to the increased cost of imported components. Similarly, the automobile, consumer durable, and aviation sectors are facing a 5\u201310% price increase because of expenses denominated in dollars. He argued that while a weaker rupee should theoretically boost exports, Indian exports have actually declined. China has devalued its yuan to promote exports, and India\u2019s trade deficit has risen to $202.42 billion. Foreign investors are increasingly adopting a \u201csell India, buy China\u201d strategy, with $2 billion in investments withdrawn from India in November 2024. He recalled that in 2013 a prominent BJP leader and MP had said, \u201cWhen the UPA came to power, the value of the rupee against the dollar was equivalent to Rahul Gandhi\u2019s age. Today it is equivalent to Sonia Gandhi\u2019s age, and very soon it will match Manmohan Singh\u2019s age.\u201d MP Raghav Chadha concluded by noting that while some initially expressed concern over the falling rupee, the government now seems indifferent. \u201cI want to ask them: Why is no one paying attention anymore? Why is there no comment when the rupee falls\u2014even though it falls every day?\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"

NEW DELHI,\u00a012 FEBRUARY 2025-\u00a0On Tuesday, during the Rajya Sabha budget discussion, Aam Aadmi Party MP Raghav Chadha launched a strong attack on the government\u2019s policies and openly highlighted the issues faced by the middle class, railways, and Indian expatriates. He asserted that the government treats the middle class as a soulless structure\u2014exploiting its very bones\u2014to …<\/p>\n","protected":false},"author":2,"featured_media":8801,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[],"class_list":["post-8800","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-national"],"_links":{"self":[{"href":"https:\/\/www.udaypunjab.com\/index.php?rest_route=\/wp\/v2\/posts\/8800","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.udaypunjab.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.udaypunjab.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.udaypunjab.com\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.udaypunjab.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=8800"}],"version-history":[{"count":0,"href":"https:\/\/www.udaypunjab.com\/index.php?rest_route=\/wp\/v2\/posts\/8800\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.udaypunjab.com\/index.php?rest_route=\/wp\/v2\/media\/8801"}],"wp:attachment":[{"href":"https:\/\/www.udaypunjab.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=8800"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.udaypunjab.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=8800"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.udaypunjab.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=8800"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}