The Hindu : Rs. 700-cr. package for farmers unveiled

Online edition of India's National Newspaper
Thursday, May 29, 2003

Southern States

Southern States - Andhra Pradesh

Rs. 700-cr. package for farmers unveiled

By S. Nagesh Kumar

TIRUPATI MAY 28. Continuing the spree of sops for various sections of people, the TDP president, N. Chandrababu Naidu, announced a comprehensive package of concessions involving over Rs. 700 crores to farmers today, the second day of his party's Mahanadu here.

Mr. Naidu also conferred a heap of benefits to rickshaw pullers such as accident insurance of Rs.50,000 for death or permanent disability, Rs. 25,000 for lesser injuries and a monthly scholarship of Rs.100 for their children studying in classes 8th, 9th and 10th. Beedi workers were also at the receiving end of his largesse with the TDP president declaring that the Government would construct 25,000 houses and cover all the 6.50 lakh of them with provident fund.

These welfare measures were in continuation of the benefits he has been announcing for various sections beginning with women yesterday when he declared that the Government would provide two lakh bicycles for school going girls belonging to the weaker sections and contribute 50 per cent of the premium for life insurance cover to three lakh DWCRA women. He also announced that girl child seeking admission into a school could opt for mentioning the name of either her mother or father.

Speaking on a resolution on `agricultural policy and remunerative prices' proposed by the former Minister, Pocharam Srinivas Reddy, the TDP president announced that the Government would release Rs.100 crores this year towards payment of crop insurance after earlier speakers criticised its implementation. The Centre and the State Government contribute 40 per cent each towards the crop insurance while the remaining 20 per cent is taken care of by insurance companies.

The Government would spend Rs. 36 crores before the upcoming kharif season on repairing 573 defunct lift irrigation schemes before the upcoming kharif season to bring 2.40 lakh acres under irrigation. This would be in addition to five lakh acres proposed to be brought under irrigation under various projects during 2003-04.

Announcing a spate of reliefs to farmers who had availed themselves of loans, he said the interest on long-term cooperative loans in drought-declared mandals would be waived for one year in the event that they repay the loans. In mandals not affected by drought, the interest relief will be only 5 per cent. The burden on the exchequer on account of this concession works out to anywhere between Rs. 200 crores and Rs. 250 crores. In addition, penal interest amounting to Rs. 94 crores due from farmers would be written off if they pay the regular interest. The TDP president said his Government would continue to bring pressure on the Centre to waive 100 per cent interest on short-term loans availed by farmers from nationalised banks against 40 per cent it had declared in drought-hit mandals and seek 5 per cent interest in other mandals.

Making several other promises, he said seed would be supplied at 50 per cent subsidy to farmers, Rs. 30 crores sanctioned to promote fisheries, Rs. 20 crores for horticulture and a sum of Rs. 1250 crores spent on drip and sprinkler irrigation over an extent of 6.25 lakh acres. Responding to complaints by partymen about poor extension work by the Agriculture Department, he said plot demonstrators would be appointed for every 2,000 acres of agricultural land.

He also unveiled a plan for motivating the 80 lakh farmers in the State to form DWCRA-type thrift groups, each consisting of about 20,000 members, and offered a Government grant of Rs.20,000 for every group. Besides, all the four lakh farmers bringing their produce to market yards and hamalies would be covered by insurance, he added.

This ambitious package would be placed before the Cabinet at its next meeting for approval, he said, and challenged any of the 16 Congress Governments to come out with similar reliefs for farmers in its State.

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