The Hindu : Tamil Nadu News : Farmers, traders welcome revised farm loan rates

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Friday, Mar 21, 2008
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Tamil Nadu

Tamil Nadu

Farmers, traders welcome revised farm loan rates

Staff Reporter

PUDUKOTTAI: Farmers and traders have hailed the downward revision announced by the State Government in its budget proposals on the rate of interest on farm loans to be sanctioned by cooperative banks from fiscal 2008-09.

Pudukottai District Chairman of Farmers’ Forum of India G. S. Dhanapathy said that the downward revision from the present 5 to 4 per cent was a welcome measure.

However, he said that the crop insurance scheme should be farmer-specific and not based on any survey. ’

The insurance policy should ensure immediate and direct disbursement of compensation to the affected farmers.

Welcoming the proposal for elevating Ponnamaravathy and Karambakudi as taluk headquarters, he said that the budget proposal had not included Pudukottai district for starting a government engineering college.

Outlay insufficient

The State Government should allocate more funds for farm loans, as the outlay for sanctioning fresh farm loans to the tune of Rs.1,500 crore would not be sufficient to meet the financial investment of all small, marginal and big farmers.

While the State Government’s move to link the rivers was a welcome measure, the budget was silent on strengthening the minor-irrigation tanks. He sought additional concessions such as waiver of purchase tax to benefit the sugarcane growers in the district.

President of Aranthangi Chamber of Commerce L. Kailasanathan said that the farming community would benefit in a big way.

Big disappointment

He termed as a ‘big disappointment’ the non-inclusion of Pudukottai district for starting the Government engineering college and said that the youths belonging to the economically weaker sections in Aranthangi were finding it difficult to pursue higher education. Although the district administration had initiated steps for selecting a site for the college, no announcement had been made in the budget proposals.

Mr. Kailasanathan said that the State Government should take steps for controlling prices of essential commodities.

The Communist Party of India has welcomed the creation of two new taluks in the district.

District secretary and Alankudi MLA S. Rajasekaran said that the creation of new taluks was a felt-need of the residents of the district.

Nagapattinam

Farmers in Cauvery delta region have welcomed the lowering of the rate of interest .

Arupathy Kalyanam, general secretary of the Federation of Farmers Associations in Thanjavur, Tiruvarur and Nagapattinam ditricts, told The Hindu that the Government had announced the interest reduction only on loans borrowed from co-operative societies.

He urged the Government should take steps for reducing the rate of interest on farm loans given by the commercial and nationalised banks so that all the farmers in the State would benefit as the commercial banks were now issuing loans at seven per cent rate of inerest.

Mr. Kalyanam said that the Government did not announce anything with regard to formation of farmers welfare board on the lines of farm labourers welfare board constituted by the Government.

He pointed out that the farmers associations welcomed the Government’s initiative to form self-help groups from farmers and suggested that it should be formed both at village and block levels. He said the allocation for agriculture and allied sectors in this budget was inadequate.

Rechristen free power supply

Mr. Kalyanam suggested that the free power supply for agriculture to be renamed as agriculture production power so that there would not be any difficulty in getting this connection. The free power should also be extended to fisheries sector.

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