CHANDIGARH: Punjab will form its own crop insurance policy for which the Amarinder Singh-led Congress government has already sought suggestions from the state farmers’ commission. The northern state, in the process, gave a thumbs-down to Prime Minister Narendra Modi’s ambitious Pradhan Mantri Fasal Bima Yojana (PMFBY).
While banks have declared 1.39 lakh farmers as defaulters in Punjab, non-performing assets of these banks due to farm loans run into Rs 6,611 crore. The outstanding amount to be paid to the Punjab farmers is Rs 83,316 crore.
At a meeting of state agriculture ministers with their Union counterpart Radha Mohan Singh in July last year, Punjab had informed the Centre of its plan to set up its own agriculture insurance corporation — a proposal which was accepted.
The government, then, held a meeting with insurance companies but nothing turned up. Subsequently, a committee was formed to find out the possibilities of forming an insurance corporation.
The agriculture department is now likely to submit a draft of the agriculture insurance policy to thegovernment after the budget session in March. “The draft of the insurance scheme is being prepared along with the agriculture policy,’’ a senior official said.
Sources said Punjab made some suggestions to the Centre for amending some sections — including the clause that the Pradhan Mantri Fasal Bima Yojana is applicable only if there is 40 per cent crop damage in a village — of the insurance scheme. But, the suggestions were neither adopted nor the Centre gave any response to the state.
Sources said some 5,000 cases for insurance claims are lying with crop insurance companies. The Congress government has already given an ultimatum to these companies to clear the claims of farmers on time and release payments.