Maha govt to give Rs 10,000 to farmers ahead of loan waiver

The state’s minister for cooperative societies Subhash Deshmukh said the interim assistance of Rs 10,000 rendered now will be adjusted by banks later.

Published: 13th June 2017 10:05 PM  |   Last Updated: 13th June 2017 10:05 PM   |  A+A-

Maharashtra Chief Minister Devendra Fadnavis. | PTI File Photo

Express News Service

MUMBAI: While it does the math for the farm loan waiver it announced Sunday, the Maharashtra government has decided to give an interim assistance of Rs 10,000 to cultivators to enable them to buy pre-sowing inputs.

The finer details of the waiver are likely to take a week to be worked out by a special committee appointed for the purpose. The banks have not yet been given the complete data on farm loans though a presentation on it was made to the cabinet on Tuesday.

The state’s minister for cooperative societies Subhash Deshmukh said the interim assistance of Rs 10,000 rendered now will be adjusted by banks later.

The minister told New Indian Express that the decision was taken now because the rains have already arrived in Maharashtra and farmers would need to buy inputs. As banks don’t lend anew while the fate of old loans is yet to be decided, the government decided to bail out farmers with this bridge payment to buy seeds, pesticides, etc.

The loan waiver, if given to all farm borrowers, would cost the government a whopping Rs 31,000 crore. But it’s very likely that terms would be written into the final draft, to constrict the beneficiary number to a manageable level. When he made his announcement on June 3, chief minister Devendra Fadnavis did say that the waiver would go out only to small and marginalised farmers. But due to subsequent political advice the landholding criterion was done away with.

Since the final package is still likely to be a fraught political issue, the Fadnavis government is trying to bring the opposition on board. Revenue minister Chandrakant Patil said the government is trying to evolve a “consensus among political parties of the state”.

"I met Sharad Pawar and Ashok Chavan last night (Monday). I shall also be meeting Uddhav Thackeray tomorrow (Wednesday),” Patil said.

While the landholding criteria has ostensibly been done away with, there has been a lot of loud thinking by ministers in the government suggesting that there will be a cap on maximum landholding to be eligible for the waiver.

To prepare the ground, the government won over farmer leaders to the idea of applying some filters to keep out rich farmers from accessing the benefit. These filters may exclude farmers who have salaried jobs, pay income tax, own four wheelers, etc.

Towards that end, the government seems already to have begun preparing the atmospherics. On Tuesday, an MLA of the BJP's ally Rashtriya Samaj Paksha piped up and declared that he wouldn’t avail the loan waiver. Rahul Kul, who represents Daund constituency in Pune district, has written a letter to the revenue minister, requesting to be excluded from the waiver.

"I am a farmer and have been periodically repaying the instalments of money borrowed by me. I will continue to do so in future as well. I thus request you to exempt me from the

loan waiver scheme," Kul stated.

He told reporters that he had borrowed a loan of Rs 20 lakh for his farm.

Stay up to date on all the latest Nation news with The New Indian Express App. Download now
(Get the news that matters from New Indian Express on WhatsApp. Click this link and hit 'Click to Subscribe'. Follow the instructions after that.)


Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on are those of the comment writers alone. They do not represent the views or opinions of or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. reserves the right to take any or all comments down at any time.

flipboard facebook twitter whatsapp