The Hindu Business Line : Relief package soon to tackle AP ryots' problems: CM

EXPRESSING concern over the growing incidence of deaths in the farm community, the Andhra Pradesh Government has announced plans to come up with a comprehensive package to resolve their problems, including moratorium on crop loans.

These initiatives include relaxing the rules to provide relief package, discussions with financial institutions such as Nabard to slash interest rates and completion of irrigation projects, a six-month moratorium on all crop loans, a plan to reduce interest rates and a comprehensive insurance scheme which would allow compensation crop wise.

The Chief Minister, Dr Y.S. Rajashekara Reddy, today said inadequate extension work by the previous Government had led to stagnated farm productivity levels leading to eroded incomes.

Dwindling institutional credit and higher interest rates have added to the woes of the farmers. Replying to a debate on the farmers' suicide in the State Legislative Assembly, Dr Reddy said the share of agriculture in GSDP of the State had fallen to 13.3 per cent from 24.62 per cent in 1993-94, reflecting the dwindling income levels in the farm sector.

While the gross state domestic product (GSDP) of the State rose from Rs 61,114 crore in 1994-95 to Rs 91,055 crore in 2002-2003, the agricultural GSDP fell from Rs 13,305 crore to Rs 11,958 crore at constant prices for the same period.

Highlighting some of the recent steps taken by the State Government, Dr Reddy said the Government has announced plans to provide free power to the farming community, announced a one-time settlement package for all outstanding dues as on date with a ceiling of Rs 50,000 and constituted a cabinet sub-committee to go into all aspects of the issue and come out with a solution for this long-pending problem.

The lopsided economic policies of the earlier Government, which are completely inconsistent with the core competence of the State, and the complete neglect of the agriculture and irrigation have substantially aggravated the situation in the State in the last 10 years, he said.

"In a State like ours, the Governments have to anticipate the possibility of droughts and floods and cyclones and their impact on the State. We are living in a world of information explosion and it should easily be possible for us to have an action plan in place to face the challenges of nature's furies like droughts and floods and cyclones squarely rather than being overwhelmed by them," Dr Reddy said.

Earlier, Ch. Rajeshwara Rao, speaking on behalf of the TDP, alleged that the Government was not sincere in implementing the relief package announced for the families of the farmers who have committed suicide. This was clear from the fact that no monetary assistance was paid to anyone so far. Questioning the data of deaths of 47 suicide provided by the State Government, Mr Rao said there have been reports of about 234 deaths and 24 more of weavers ending their lives.

Mr Nomula Narsiah of the CPM said that the Government has to redraw its priorities and look into how to help the farm community. While there were some reports that suggested that farmers are resorting to suicide to advantage of the compensation, this is far from reality.

This is aimed at deflecting the real issues. Suggesting ways to help them, he said that focus on irrigation projects to create a better environment, was one such important step that the Government had to prioritise.

Earlier, the House unanimously expressed anguish over the suicides in the farm community and urged them not to resort to such extreme step.

While assuring them of all necessary steps to help them tide over the present crisis, the House resolved and appealed them to reason out the current situation, as all necessary steps to tide over the crisis would be taken collectively in their interest.

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Relief package soon to tackle AP ryots' problems: CM