State Government Announces Rs 22,000 Crore Interest-Free Crop Loan Plan for Farmers in 2023-24

The Rajasthan government has unveiled a comprehensive plan to disburse Rs 22,000 crore as interest-free crop loans in the upcoming fiscal year of 2023-24. With an estimated 3.5 million farmers set to benefit from this scheme, the state government aims to allocate Rs 1,000 crore as an interest subsidy. Cooperative banks will be responsible for the distribution of these loans, according to an official from the agriculture department.

The state government's proactive approach in providing interest-free crop loans underscores its commitment to the welfare of farmers. By implementing such initiatives, the government aims to boost agricultural productivity and alleviate financial burdens, ultimately supporting the growth and sustainability of the agricultural sector.

In the kharif season of 2022-23, loans amounting to Rs 180 crore were disbursed to 98,320 farmers, while Rs 367 crore was provided to 219,249 farmers during the rabi season. A total of Rs 547 crore was distributed as interest-free loans to 317,569 farmers.

Udaylal Anjana, the Cooperative Minister, highlighted that in the previous fiscal year of 2022-23, Rs 19,740 crore was disbursed among 2.971 million farmers, marking the highest disbursement of interest-free crop loans in a single year. The minister also provided statistics from previous years, stating that the government disbursed Rs 9,541.02 crore in 2019-20, Rs 15,325.38 crore in 2020-21, and Rs 18,101.68 crore in 2021-22.

Additionally, the state government has extended the deadline for repaying short-term crop loans taken during the Kharif 2022 season. Farmers now have until June 30, 2023, or within 12 months from the date of taking the loan, whichever is earlier, to repay their loans. This extension offers farmers more time to fulfil their financial obligations, with the previous repayment deadline set on March 31, 2023.

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Agriculture, along with its allied sectors, plays a significant role in the state's Gross State Domestic Product (GSDP), contributing over 28 per cent. More than 60 per cent of the working population relies on agriculture for their livelihood, emphasizing the importance of supporting farmers and ensuring their access to favourable financial assistance.

source-Business Standard

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