Agricultural Loan – uttamhindu.com

One of the main demands of the agitating farmers is loan waiver. Loan of Rs 7.3 lakh crore given by banks to farmers in 2013-14 Whereas during the Modi government, there has been a rapid increase in bank loans for agricultural loans. Banks have distributed Rs 20.39 lakh crore as loans in the current financial year 2023-2024 alone.

It is noteworthy that the government had set the target of agricultural credit at Rs 20 lakh crore in the budget for the financial year 2023-24. Banks have already crossed the target and this figure may cross Rs 22 lakh crore in this financial year. The Agriculture Ministry has implemented an interest subvention scheme for short-term crop loans up to Rs 3 lakh to provide agricultural loans to farmers at a low interest rate of seven percent per annum. Under the scheme, banks are given an interest rebate of two percent per annum on the utilization of their resources. Apart from this, farmers are given an additional incentive of three percent on timely repayment of loan, which reduces the interest rate to four percent.

According to a senior official of the Agriculture Ministry, institutional credit to the agriculture sector has reached Rs 20.39 lakh crore in 2023-24 (by January 31, 2024), which was Rs 7.3 lakh crore in 2013-14. This loan was given to 1,268.51 lakh accounts. During the financial year 2022-23, the total agricultural loan disbursement stood at Rs 21.55 lakh crore. This is more than the fixed target of Rs 18.50 lakh crore. Apart from this, the benefit of concessional institutional loan at four percent annual interest through KCC (Kisan Credit Card) has been given to farmers engaged in animal husbandry and fisheries. This loan is given to meet their short-term working capital needs. As of March 31 last year, there were 73,470,282 active Kisan Credit Card accounts on which outstanding of Rs 8,85,463 crore was due. Furthermore, the government launched the PM-Kisan scheme in 2019. Under this, an amount of Rs 6,000 is given annually to eligible farmers in three equal installments directly into their bank accounts. This scheme was launched in February 2019, but the benefits of the scheme were given to the farmers from December 2018. According to the official, since 2018 till now, Rs 2.81 lakh crore has been given to more than 11 crore beneficiary farmers through various installments through Direct Benefit Transfer (DBT). He said that apart from this, to achieve the target of doubling the income of farmers, the Center has increased the Minimum Support Price (MSP) of crops in the last 10 years and has also increased the purchase of wheat, paddy, oilseeds and pulses.

It is clear from the above facts that keeping the development of farmers at the forefront, the Modi government has tried to promote the agriculture sector in every way. Not only has agricultural credit increased, but the purchase of agricultural produce is also much more than previous governments. But under a well thought out plan, an attempt is being made to term the Modi government as anti-farmer.

A campaign should be started by the government to make the work done and the policies made by the Modi government to strengthen the economic condition of the farmers at the national and state level available to the common people so that the truth can be revealed to the people.

-Irwin Khanna, Editor-in-Chief, Dainik Uttam Hindu.