Mumbai: Chief Minister Devendra Fadnavis said on Thursday that the State government will not be able to announce loan waivers to all the 1.34 crore farmers in the State.
In a bid to appease agitating farmers, he also said the government will soon be bringing in a law which will make buying produce from farmers at prices lower than the minimum support price a crime. “We have also received news that several milk co-operatives have refused to accept milk from farmers. We will be appointing an administrator for these co-operatives if they continue with this practice.”
Mr. Fadnavis said 31 lakh farmers who are outside the institutional credit system will be considered. “A committee has been working on it and the decision will be announced at the right time. The government will need ₹30,000 crore if it decides to waive off loans given to 31 lakh farmers.”
On the first day of the farmers’strike, the State Level Banking Committee (SLBC) announced a new credit plan for 2017-18 worth ₹54,000 crore, or ₹3,500 crore more than the previous year’s plan. In 2016-17, the government managed to achieve 82% of the target.
Mr. Fadnavis said the government intends to expand the credit base for farmers. “Around 13 District Central Cooperative Banks have no liquidity left, and will now act as agents of nationalised and commercial banks. The strategy for this will be decided in a week’s time. We will ensure that credit flow to farmers isn’t compromised.”