27th December, 2002
Ministry of Agriculture  


RELIEF FOR DROUGHT-HIT FARMERS

NEW SCHEMES TO BENEFIT SMALL AND MARGINAL FARMERS


YEAR END REVIEW-2002

A number of steps were initiated during the year to mitigate the suffering of farmers affected by drought. Ministry also launched farmer friendly schemes particularly for the benefit of small and marginal farmers. These schemes aim at creating additional irrigation potential, providing better market excess, credit and extension facilities.

Relief measures announced by the Government include complete waiver of interest liability of farmers on this years’ kharif loans in the drought affected States, agriculture input subsidy up to two hectare limit to all drought affected farmers and additional Rs. 25 crores assistance for maintenance of Gaushalas. Besides, the Government has distributed 38 lakh MT of food-grains costing Rs. 4,000 crores for providing employment in drought affected States and released Rs. 2,000 crores from Calamity Relief Fund (CRF) and National Calamity Contingency Fund (NCCF) to affected States. Short-term loans of the farmers were converted into medium term loans. Facility of free transport of water and fodder has been provided to Rajasthan, one of the worst affected States, up to June, 2003. The State has also been provided with an assistance of Rs. 12 crores for Gaushalas.

Government had announced Minimum Support Prices for the crop year 2002-2003 on the basis of the recommendations of the Commission for Agricultural Costs and Prices (CACP) but in view of the drought situation one-time special drought relief price has been announced for various commodities. These range from Rs. 20 per quintal for Paddy, Jowar, Copra, Sesamum etc., Rs. 15 per quintal for Sunflower seed, Rs. 10 per quintal for Bajra and Soyabean and Rs. 5 for various Pulses. An increase of Rs. 5 per quintal in Statutory Minimum Price (SMP) has been announced for sugarcane farmers in all States.

The Indian Council of Agricultural Research has also formulated a scheme to combat drought through short-term and long-term strategies. An unprecedented –30% deficient rainfall during July resulted in drought condition in several States worst sufferers were Rajasthan, Haryana, Karnataka, Punjab, Tamil Nadu and Uttar Pradesh. Around 158 lakh hectares out of 905 lakh hectares sown normally during kharif had 50% damage or more while approximately 20% area could not be sown.

Because of the current drought the total loss of production during kharif is estimated to be around 19.84 million tonnes. However, India remains the world’s second larger exporter of rice and fifth larger exporter of wheat. In the first six months of 2002-03, as compared to the same period last year, rice exports have gone up by five times to 3.7 million tonnes and wheat exports are up by 50% to 2.2 million tonnes.

Agri-clinic & Agri-business Centres

The Ministry of Agriculture has recently launched a unique programme to take improved methods of farming to each and every farmer across the country. This programme aims to tap the expertise available in the large pool of agricultural graduates to set up agri-clinic and agri-business centers and offer professional extension services to farmers. Start of training is also being provided to graduates in agriculture or allied subjects. They can apply for special start up loans after completing the training. Agri-clinics and agri-business centers would provide paid services for enhancement of agricultural production and income of farmers.

Rural Godown Scheme

In order to create scientific storage facility for agricultural produce a scheme of construction, renovation and expansion of rural godowns has been launched. The scheme provides facility of pledge financing and marketing credit and his helpful in preventing distress sale by small and marginal farmers immediately after harvest. Under the scheme creation of new 18.3 lakh MTs and renovation of 1.5 lakh tonnes of rural storage capacity has been targeted. This is to be achieved by the end of the current financial year. The Government of India will provide financial assistance of Rs. 90 crores by way of subsidy.

On-Farm Water Management in North-Eastern Region

With its abandoned water resources and favorable soil structure the region has the potential substantially increasing the productivity of different crops. To fully exploit the potential of ground water in the region a new scheme has been launched in 171 districts of U.P., Bihar, Jharkhand, West Bengal, Assam, Orissa, Chattisgarh, Manipur, Mizoram and Arunachal Pradesh. The scheme will be financed through bank loan. Government will give a back-ended subsidy. A sum of Rs. 15 crores has been given to NABARD during 2001-2002 to meet the expenditure on subsidy on the loan sanctioned under this scheme.

New Law on Multi-State Cooperative Societies

The Government has enacted new liberalized Multi-State Cooperative Societies (MSCS) Act 2002 replacing MSCS Act of 1984. The objective of the new Act is to remove restrictive provisions and provide full functional autonomy and a democratic management to the cooperative societies so that they may become vibrant, self-reliant and a dynamic economic enterprise. The Central Government is now pursuing with the State Governments to implement the legislative and policy reforms in the cooperative sector.

New Initiative for Fisheries Development

To augment fish production in the inland sector in selected States four new pilot schemes with 100% Central assistance have been taken up. These include –

1. Integrated development of inland capture fisheries in Bihar, Karnataka, Madhya Pradesh and Uttar Pradesh at a Central assistance of Rs. 86.87 lakhs.

2. Development of fisheries and aquaculture in hill regions in States of Jammu & Kashmir, Himachal Pradesh, Sikkim & Uttaranchal. An amount of Rs. 400 lakhs was released under the scheme.

3. Development of waterlogged areas into aquaculture estates in Bihar, Haryana and Uttar Pradesh with a central assistance of Rs. 96.68 lakhs.

4. Utilization of inland saline soil for aqua culture in Haryana and Uttar Pradesh with a central assistance of Rs. 76 lakhs.

Rice Genome Project

ICAR has successfully participated in the world rice genome project. It has sequenced rice genome from the long arm of chromosome 11 between map positions 57.3 cM to 84.3 cM and further to identify genes and markers of agricultural importance using the rice genome sequence data. Till date physical map region of the chromosome 11 assigned to the National Research Centre for Planned Bio-technology (NRCPB) has been developed and more than 2 Mb data have been submitted to the GenBank after sequencing. Once the project is completed it will have revolutionary impact on rice farming and production.