After UP & Maharashtra, Punjab announces loan waiver for farmers
NEW DELHI: In a bid to go one-up on the moves by BJP governments in Uttar Pradesh and Maharashtra, the Congress government in Punjab has also announced a farm loan waiver, offering double the relief for a farmer than the two BJP-ruled states.
Punjab Chief Minister Captain Amarinder Singh on Monday announced crop loan waiver of up to Rs 2 lakh for small and marginal farmers having less than 5 acre of land holding in Punjab and a flat Rs 2 lakh waiver for marginal farmers having a bigger land holding. The move would benefit 10.25 lakh farmers in Punjab, Singh said.
UP in April announced a waiver up to loan amount of Rs 1 lakh for nearly 87 lakh small and marginal farmers in the state. Maharashtra also announced a loan waiver up to Rs 1 lakh for farmers.
"The initiative would provide double the relief announced by states of Uttar Pradesh and Maharashtra," the Punjab government stressed in a statement. Congress had promised a loan waiver during Punjab polls.
UP will bear a burden of nearly Rs 36,500 crore due to the loan waiver while Maharashtra is expected to bear a loan waiver amounting to nearly Rs 25000 crore. Punjab has not specified the total burden on its exchequer but claimed its offer is far more attractive for the state's farmers than their counterparts in the two BJP-ruled states.
Captain Amarinder Singh said the state would also take over outstanding crop loans from institutional sources of all families of farmers who have committed suicides in Punjab. The state has also decided to repeal a provision in law which provided for auction or seizure of farmers land due to unpaid loans.
The Congress government in Punjab has further blamed the Akali Dal-BJP regime in the state for not being able to offer even more benefit to farmers.
"The Badal regime accepted a loan of Rs 31000 crore to cover the shortfall in the cash credit limit for procurement of foodgrains, for which our government has to pay Rs 270 crore every month and Rs 3240 crore annually. Had this not been done, our government would have utilized the additional Rs. 31,000 crore amount also to benefit the farmers," CM Singh told the state assembly on Monday.
The decision is based on the interim report of an expert group, headed by eminent economist Dr T. Haque, which was tasked with suggesting ways and means to help the state's distressed farming community, IANS reported.
The Chief Minister proposed that the Speaker may constitute a 5-member committee of the Vidhan Sabha to visit families of the suicide victims, ascertain the reasons for suicides and suggest further steps to be taken to check the menace.
He also told the assembly that his government had already decided to repeal Section 67 A of the Punjab Cooperative Societies Act, 1961, which provides for auction (kurki) of farmers' land.
Also asserting that his government's is committed to provide free power to farmers, he however, appealed to all big and well-to-do farmers of the state to give up power subsidy voluntarily.
Amarinder announced his decision to immediately give up the subsidy at his own farms to set a personal example, and appealed to his colleagues to do the same.
Punjab Chief Minister Captain Amarinder Singh on Monday announced crop loan waiver of up to Rs 2 lakh for small and marginal farmers having less than 5 acre of land holding in Punjab and a flat Rs 2 lakh waiver for marginal farmers having a bigger land holding. The move would benefit 10.25 lakh farmers in Punjab, Singh said.
UP in April announced a waiver up to loan amount of Rs 1 lakh for nearly 87 lakh small and marginal farmers in the state. Maharashtra also announced a loan waiver up to Rs 1 lakh for farmers.
"The initiative would provide double the relief announced by states of Uttar Pradesh and Maharashtra," the Punjab government stressed in a statement. Congress had promised a loan waiver during Punjab polls.
UP will bear a burden of nearly Rs 36,500 crore due to the loan waiver while Maharashtra is expected to bear a loan waiver amounting to nearly Rs 25000 crore. Punjab has not specified the total burden on its exchequer but claimed its offer is far more attractive for the state's farmers than their counterparts in the two BJP-ruled states.
Captain Amarinder Singh said the state would also take over outstanding crop loans from institutional sources of all families of farmers who have committed suicides in Punjab. The state has also decided to repeal a provision in law which provided for auction or seizure of farmers land due to unpaid loans.
The Congress government in Punjab has further blamed the Akali Dal-BJP regime in the state for not being able to offer even more benefit to farmers.
"The Badal regime accepted a loan of Rs 31000 crore to cover the shortfall in the cash credit limit for procurement of foodgrains, for which our government has to pay Rs 270 crore every month and Rs 3240 crore annually. Had this not been done, our government would have utilized the additional Rs. 31,000 crore amount also to benefit the farmers," CM Singh told the state assembly on Monday.
The decision is based on the interim report of an expert group, headed by eminent economist Dr T. Haque, which was tasked with suggesting ways and means to help the state's distressed farming community, IANS reported.
The Chief Minister proposed that the Speaker may constitute a 5-member committee of the Vidhan Sabha to visit families of the suicide victims, ascertain the reasons for suicides and suggest further steps to be taken to check the menace.
He also told the assembly that his government had already decided to repeal Section 67 A of the Punjab Cooperative Societies Act, 1961, which provides for auction (kurki) of farmers' land.
Also asserting that his government's is committed to provide free power to farmers, he however, appealed to all big and well-to-do farmers of the state to give up power subsidy voluntarily.
Amarinder announced his decision to immediately give up the subsidy at his own farms to set a personal example, and appealed to his colleagues to do the same.