The Hindu Business Line : Farmers from 4 States to get bailout package

Centre to rescue
Monetary support to complete irrigation projects.
New seeds will be given to farmers.
Defaulters to be given fresh credits.

Pune , June 25

The Centre is finalising a bailout package for the farmers of four States — Karnataka, Kerala, Andhra Pradesh and Maharashtra, the Union Minister of Agriculture and Civil Supplies, Mr Sharad Pawar, said at the inauguration of Mahratta Chamber of Commerce Industries and Agriculture.

Mr Pawar noted that the package is expected to benefit about 32 districts in these four States, which have reported high number of suicide cases. He pointed out that 15,000 to 16,000 farmers commit suicide every year. Commenting on the financial package, Mr Pawar said he would be meeting the Finance Minister, Mr P. Chidambaram, on Monday to discuss the funds that would have to be disbursed in the next two to three years and also the details of the package.

He said the details of the package have been submitted to the Prime Minister, Dr Manmohan Singh, as also to the members of the Planning Commission and officials of the Finance, Rural Development and Agriculture Ministries.

Mr Pawar said as per the proposed package, the Centre would provide monetary support to complete irrigation projects in the districts identified and would be looking at the potential for new projects to be implemented.

He said the farmers would be provided withlatest seeds and the older ones would be replaced. The Minister noted that credit was one issue where farmers faced problems and the package would look at providing additional agricultural credit — be it from the commercial, rural or co-operative banks.

He pointed out that there were a number of farmers who were already in the list of defaulters and whose credit had been stopped. To help them , financial rehabilitation would be looked into and these defaulters would be given fresh credits.

More help

Mr Pawar said the package would also concentrate on additional income source for these farmers and would be looking at other avenues such as fisheries, dairy and piggery.

The Minister said a meeting had been convened in April, where the Chief Ministers of Maharashtra and Andhra Pradesh, along with the Chief Secretary of Kerala and the Agriculture Minister of Karnataka had participated.

In this meeting various reasons for farmer suicides were discussed. It was concluded that being in debt, cultivation of mono crop, social problems, non availability of irrigation and lack of additional income to the family were primary reasons.

Sugar industry

When asked about Reliance's plan to set up a sugar factory in Maharashtra, Mr Pawar clarified that he had requested the company to set up sugar factories in Bihar, Assam, Orissa and West Bengal.

Mr Pawar added that the strategy was to encourage companies to set up sugar factories in other locations and noted that Bajaj Hindustan and Rajashri Sugar Group were already planning to set up factories in these locations.

With the proposal for an international airport at Chakan near Pune coming to a halt, Mr Pawar said that a meeting was scheduled between the Defence Minister, Mr Pranab Mukherjee, the Civil Aviation Minister, Mr Praful Patel, the city MP, Mr Suresh Kalmadi and Mr Rahul Bajaj in the third week of July.

The Mahratta Chamber of Commerce, Industries and Agriculture (MCCIA) has shifted to its new facility at the Internal Convention Centre. The area at the premise would include state-of-the-art auditorium, conference and training rooms, and indoor exhibition gallery and modern office set up. The new premise is spread over 50,000 sq ft. The Regional British Trade Office is also being set up in the Chamber premises, Mr Ravi Pandit, the President of MCCIA, said during the inauguration of the premise.

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Farmers from 4 States to get bailout package