The Hindu Business Line : Kerala defers recoveries on farm loans

THE State Government has decided to defer revenue recovery proceedings on farm loans for a period of six months in view of the plight of farmers hit hard by the drought conditions prevailing in the State.

Various organisations of farmers have been on strike in different parts of the State, including the premises of the State Secretariat here, seeking immediate intervention by the Government to stop revenue recovery proceedings initiated by a number of banks, including cooperatives.

A special meeting of the high-power committee of the ruling United Democratic Front had, on Tuesday recommended suspending recovery procedures for a period of three months.

Briefing newspersons on the decisions arrived, a Cabinet meeting here on Wednesday, the Chief Minister, Mr A. K. Antony, said the drought relief assistance of Rs 49.54 crore offered by the Centre had fallen far short of the State's requirements. The Chief Minister had only last week met with the Prime Minister and the Deputy Prime Minister in New Delhi and had demanded an assistance of Rs 1,359 crore to help the State tide over what he described as a precipitous situation brought about by repeat failures of the monsoon.

The Chief Minister said the State Government was left with no option but to prepare a fresh memorandum and approach the Centre for additional assistance to sustain the drinking water supplies in the drought-hit areas that extended to all parts of the State.

The Cabinet also decided to take up drought relief activities, at an estimated budget of Rs 200 crore, on a war-footing. This amount comprises the Rs 120 crore already sanctioned by the Cabinet and the Rs 49.54 crore promised by the Centre. The State Government has decided to make a special provision of Rs 31 crore to round off the figure, Mr Antony said.

Meanwhile, the State Government has set up Crisis Management Groups (CMGs) at the State and district levels to deal with the drought situation.

According to the Chief Minister, the Chief Secretary, Mr N. Chandrasekharan Nair, will head the CMG at the apex level. Individual ministers have been given the responsibility to coordinate drought relief measures in various districts.

Panchayat initiative: Local Self-Government institutions across the State should prepare special projects for supply of drinking water, said Mr Cherkalam Abdullah, Minister for Local self-Government.

In a release on Wednesday, he said that such schemes for supply of drinking water should be approved in two days. The Revenue Department is taking steps to supply water in tankers to areas hit by drinking water scarcity. Officials of local self-Government institutions should get in touch with the Department, he added.

Mr Abdullah has also called an emergency meeting of all district panchayat presidents in Kochi on March 12, the release added.

More Stories on : Climate & Weather | Agricultural Policy | Farm credit | Kerala

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