Hike farmer income support, says Ficci

New Delhi: The recent slowdown in the economy stem not only from slow investment growth and subdued exports but also from weakening growth in consumption demand, industry body Ficci has told the Finance Ministry.

In a pre-Budget 2019-20 memorandum to the ministry, Ficci has warned of long-term repercussions if the serious concerns on the economy are not addressed urgently.

"Indian economy now faces the risk of slow growth amidst a weakening global economic environment and slowdown in domestic demand.

Amidst the rising uncertainties and economic challenges on both domestic and global fronts, there is an urgent need to re-energise the engines of growth and pump prime the economy," the Ficci memorandum said.

"The recent signs of slowdown in the economy stem not only from slow growth in investments and subdued exports but also from weakening growth in consumption demand.

This is a matter of serious concern and if not addressed urgently, the repercussions would be long-term."

For addressing agrarian distress and reviving the rural economy, the chamber has sought an extension and hike in the Interim Budget 2019-20's Direct Income Support (DIS) of Rs 6,000 annually to small and marginal farmers.