The Hindu : National : Package has helped only banks: BJP

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Friday, Nov 23, 2007
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Package has helped only banks: BJP

Special Correspondent

Kadam suggests ways of generating rural employment
Farmers not getting remunerative price: Gopinath Munde

NAGPUR: The Opposition parties asserted in the Maharashtra Assembly on Thursday that the State government spending hundreds of crores could spare resources to help the crisis-ridden farmers of Vidarbha. They alleged that the Prime Minister’s package of Rs. 3,750 crore had helped only the cooperative banks and not the farmers.

The most scathing attack came from Bharatiya Janata Party (BJP) leader Eknath Khadse, who said, “You are not applying your power on traders to recover sales tax arrears of Rs. 15,268 crore but the government-backed cooperatives are recovering 10 times the loan amounts from farmers. You have given a package of Rs. 1,200 crore to sugar mills.”

Opposition demand

As the Assembly began its sitting, the Opposition insisted that the discussion on farmers’ debts and suicides be held under an adjournment motion needing voting but finally agreed for a debate under Rule 101, which would end with a Ministerial reply.

Mr. Khadse, a former Finance Minister, said the guarantees given by the State government to the borrowings by cooperative mills stood at Rs. 55,000 crore, while their assets were only Rs. 5,000 crore. The government was now saddled with a liability of Rs. 50,000 crore.

“In the supplementary demands tabled yesterday, the government has sought Rs. 100 crore to pay the lenders of a cooperative sugar mill, who has invoked such a guarantee.”

The Prime Minister’s package had helped only the lending banks, he claimed.

Of the Rs. 7,500 crore that farmers owed banks, the principal amount was only Rs. 4,000 crore and 70 per cent of this belonged to the government. “What is Rs. 4,000 crore in a budget of Rs. 84,000 crore and when the government’s total public debt is as high as Rs.1,47,000 crore?”

In distress

The farmers were in such distress that even a small reason was enough to trigger drastic decisions. They needed not only freedom from debt but also renewed empowerment.

“But instead of being sympathetic to them, the government is charging 24 per cent interest on unpaid power bills,” Mr. Khadse complained bitterly.

White Paper sought

The Leader of the Opposition, Ramdas Kadam (Shiv Sena), wanted the government to issue a White Paper on its debt of Rs.1,47,000 crore.

He suggested several ways of generating rural employment. “Vidarbha has 25,000 lakes, which could be cleaned and turned into fisheries by spending Rs. 200 crore.

Each lake can generate employment for 10 persons. The region is abundant with ‘mahua’ trees.

Good quality wine can be brewed from the ‘mahua’ flowers the way Goans brew ‘feni’ from cashew fruits. This can provide employment to thousands.”

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