ISLAMABAD, June 1: At a special meeting of the federal cabinet held here on Friday to approve proposals for next financial year’s budget, a minister belonging to the Muttahida Qaumi Movement expressed his party’s displeasure over what he termed the government’s handling of the agriculture sector.

The minister called for comprehensive land reforms and adequate taxes on agricultural income, a participant of the meeting told Dawn.

The MQM minister said that while the finance minister had been talking day in and day out about dwindling revenues he was reluctant to introduce taxes in one of the major sectors of the economy.

In its ‘shadow budget’ which the MQM presented last week it called for equitable taxation in all sectors.

The minister said the MQM had been campaigning for working out a market mechanism in the agriculture sector by abolishing support price for farm products which would substantially reduce a big burden on the national exchequer. But unfortunately, he said, a certain lobby had always come to their (landlords’) rescue.

It was suggested at the meeting that taxes on the telecommunication sector should be reduced to broaden its coverage.

At the meeting, the ministers felicitated each other over ‘historic presentation’ of the fifth budget by the PPP-led coalition government.

They pledged to stick together and face the opposition PML-N’s onslaught both within and outside the assembly.

A PPP official said the government was aware of the PML-N’s plan and was fully prepared to face it.

Prime Minister Yousuf Raza Gilani, who presided over the meeting, said the democratic government deserved credit for upholding the cause of democracy, rule of law and the Constitution.

He praised the coalition partners for steering the country out of many challenges and playing an important role for restoring the Constitution and giving financial and political autonomy under the 18th Amendment and 7th NFC Award.

Finance Minister Dr Abdul Hafeez Shaikh briefed the cabinet on the budget proposals and priorities of the government. He said the budget had been prepared keeping in view the imperatives of people’s welfare, economic growth and incentives to potential investors to provide an enabling environment to become partners in economic growth.

The minister claimed the revenue generation endeavours had paid dividends as collection registered a 25 per cent increase over last year.

The ministers congratulated the prime minister for his leadership which ensured continuity of political process so important for socio-economic development.