The Hindu : Panel against cut in farm sector outlay

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Sunday, Apr 28, 2002

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Panel against cut in farm sector outlay

By Our Special Correspondent

New Delhi April 27. The Parliamentary Standing Committee on Agriculture and Co-operation has recommended that the budgetary allocation for this ``crucial sector'' not be cut.

In its 30th report, the committee has observed that ``continuously for years together, less than 50 per cent of the amount (demanded) is being allocated by the Planning Commission, i.e. less than half the requirement of funds is being met. How does the Government propose to double the agriculture production in 10 years as envisaged with only 50 per cent funds required to undertake schemes to increase production by the department,'' the committee, chaired by S.S. Palanimanickam, observed.

These observations formed the basis of the Opposition attack during discussions on grant of funds for the Ministry, in the Lok Sabha on Thursday.

The committee said the Department of Agriculture had sought an outlay of Rs. 18,253.81 crores for the ninth Five-Year Plan, but was provided Rs. 7,813.69 crores, which was only 43 per cent of the demand.

Again, during the 10th Plan, as against a demand of Rs. 25,000 crores, the sector was given Rs. 13,000 crores which was 52.8 per cent of the demand.

Further, against the projected demand of Rs. 5,164.41 crores for 2002-03, the department was given Rs. 2167 crores, which is only 41.96 per cent of the demand.

While observing that there had been record production of foodgrains in the country during 2001-02, the committee urged the Agriculture Department to co-ordinate with the Department of Food to ensure that prices did not fall below the minimum support price level and timely measures were taken to procure foodgrains at support price so that farmers did not have to go in for distress sale.

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