KARWAR:The state government has decided not to provide subsidy for purchasing agriculture equipment which costs more than Rs 2 lakh. Though the move stops poor farmers from purchasing costly equipments like tractors and cutting machines, they can hire the equipment from agriculture cooperative societies.
Under Agriculture Equipment Subsidy Programme, there will be a cap on the subsidy for equipment priced more than Rs 2 lakh. Till recently, the government used to provide subsidy upto Rs 4 lakh for purchasing selected equipment priced up to Rs 10 lakh.
There was subsidy up to 50 per cent for general farmers and up to 90 per cent for SC,ST farmers. Henceforth, the maximum subsidy will be limited to Rs 1 lakh. Under the new programme, registered farmer cooperative societies will be provided subsidy to purchase costly equipments. Such equipment can be hired by the member farmers of the society.
Why the New Plan?
Under Secretary to Agriculture Department R S Shivakumar, quoting a government order, stated that poor farmers could not purchase equipment which are heavily priced. Though the
government provides subsidy for costly equipment, the farmers use it only once or twice a year. To ensure that the costly machines are utilised by all farmers, it was decided to rent it out.
In rural areas, equipment has been rented out for the past one year through self help groups. Agriculture Department, Joint Director, Honnappa Govinda Gowda said the new programme has been introduced as the number of defaulters has increased in banks. Most of the farmers purchase tractors and other equipment by availing bank loans, but do not repay on time. The new plan has been initiated to ease the financial burden and help more farmers, he added.
Plan Criticised
The plan has been criticised by many. Karnataka Prantha Raitha Sangha state president Maruti Manpade said the subsidy benefit is not reaped by poor farmers, but only influential rich farmers. “Instead of providing subsidy, the government should curb migration of farm labourers so there is sufficient labour force for agricultural activities,” he added.