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Odisha CM urges Modi to frame national policy on loan waiver for farmers
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SME Times News Bureau | 19 Jun, 2018
Odisha Chief Minister Naveen Patnaik has proposed to Prime Minister
Narendra Modi that a national policy on loan waivers be formulated in
order to relieve the farmers from the agrarian distress.
"In
order to relieve the farmers from the agrarian distress, we should have a
National Policy on Loan Waiver. The state government would be willing
to support any initiative taken by the Central government in this
direction," he said in a letter to the Prime Minister, a copy of which
was released to media on Monday.
The Chief Minister had written
the letter on June 16 ahead of NITI Aayog's Governing Council meet in
Delhi on Sunday, which he had not attended.
Patnaik, in the
letter, suggested that Union government should consider the creation of a
Credit Guarantee Trust for Agriculture (CGTA) on the lines of Credit
Guarantee Trust for Micro and Small Enterprises (CGTMSE).
He said
collateral free agricultural loans to Rs 50 lakh and collateral free
crop loans upto Rs 2 lakhs could be extended backed only by the
guarantee of CGTA.
"Further, in order to have holistic
development and transformation of the agriculture sector, I would
suggest that recommendations of the Swaminathan Committee on Farmers may
be implemented in right earnest on a fast track mode," he added.
He said a vital step would be to increase the Minimum Support Price for the crops.
"Though
the announcement made in the Union Budget that the Minimum Support
Price (MSP) will be kept for all crops at least at one and half times of
the production cost is a welcome one, I am of the view that the cost of
production must take into account the actual cost incurred by farmers
on a realistic basis. We are keenly waiting for the modalities of
calculation," said the Chief Minister.
The Chief Minister also
said the state government would be willing to consider joining the
Ayushman Bharat scheme in due course if the concerns of the state are
addressed adequately.
The state government has rejected the
central health scheme and instead it launched its own scheme, the Biju
Swasthya Kalyan Yojana.
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