There is money in agriculture, but not with farmers... Solutions should ensure they get reasonable prices for their produce, says Thorat
YSP Thorat, who will head a government panel to put in place a loan-waiver mechanism for farmers with large land holdings in Maharashtra, has cautioned that debt relief should be done with "great care", as it may not succeed in the long-term unless backed by "real agricultural" solutions.
The former chairperson of the National Bank of Agriculture and Rural Development (NABARD) told DNA, "There is money in agriculture, but not with farmers... Solutions should ensure they get reasonable prices for their produce."
"I also hope that the committee will also be asked to look at agriculture in Maharashtra in a broad way so that we reduce the dependency on financial interventions,'' said Thorat, while apparently blaming over production for this year's price volatility.
Maharashtra agreed on Sunday to write off the loans of farmers with small land holdings, who in turn ended protests that had sent prices of vegetables and other items higher.
State revenue minister Chandrakant Patil announced the appointment of the Thorat panel to look into the debts held mainly by farmers with large land holdings and suggest a waiver mechanism.
A committee led by Patil announced loan waiver for those with small holding up to 5 acres. Now, the relief will be extended to farmers with large holdings after waiver parameters are fixed.
Thorat said he was yet to receive a formal communication from the state government to chair the panel. However, he said that the committee's mandate would probably be related to the procedural framework in which the policy was to be operationalised.
He said the task would involve questions of eligibility, extent, funding mechanism and monitoring arrangement. The panel will also examine whether the announcement made by the government is that of a complete waiver.
When asked who will be eligible for the loan waiver, Thorat said it would depend on the government. ''However, loan waiver for large and irrigated sections should be done with great care,'' he said.
State water resources minister Girish Mahajan, member of the Patil committee, said that the Thorat panel would comprise representatives of the government, farmers' organisations and agriculture experts.
''The loan for farmers with small holdings up to 5 acres has been waived with immediate effect. It comes to Rs 30,000 crore. The debt limit held by such a farmer is below Rs 1 lakh. These farmers will now be entitled for fresh loans," he said.
"Necessary instructions will reach banks in a day or two so farmers with small holding can start getting new loans,'' he said.
However, Mahajan said that loan waiver should not be random, but it should be done only after fixing certain criteria.
"Members suggested that farmers, who have taken loans worth more than Rs 50 lakh or up to Rs 2 crore, should not be given relief on the lines of farmers with small holdings," he said.
He said there were professionals — including doctors, lawyers and professors — who also hold land parcels and they should not be covered under the loan waiver.
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
 "YSP Thorat")
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
)
){kind=small}
){kind=small}
)
)
)
)
)
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}