Farmers Terrified To Sow For The Next Crop

Hyderabad: The situation of farmers in the state is deteriorating by the
day under Chandrababu’s rule. Having fallen victim to the betrayal of
Chandrababu in the name of loan waiver, they are terrified to initiate the new
season’s crop production.

general system of agriculture

Farmers have
been utilising banking services for agricultural expenditure since many years.
During the rule of YS Rajasekhar Reddy, he took many measures in their benefit.
He encouraged bankers to establish branches in rural areas. This increased
access to the banks for farmers. Loans used to be available free of interest
until Rs.1 lakh and for 0.25% interest between Rs.1-3 lakh. The farmers were
able to pay their loans before the season ended and were able to go for new
loans again. The banks also used to benefit due to the increasing number of borrowers
for every season, thereby increasing the loan target.

Result of
Chandrababu’s backstabbing

Believing in
Chandrababu’s promise about waiver of loans, the farmers stopped paying
interest, giving way to piling up of penalties and compound interests. The
farmers are not able to approach the banks due to the already-piled up loans
with 14-18% interest. Last year Rs.56,000 crore of target was set to loan to
farmers, but only Rs.7000 crore reached the farmers. So the farmers have no
option but to approach moneylenders.

Lack of moneylenders
due to sex racket

raised curtains to a new drama when the TDP leaders’ Call Money sex racket
surfaced. He ordered for attacks on moneylenders throughout the state. The
police filed cases against small scale lenders. This has put a halt to their
activities since last year. Only the large scale moneylenders belonging to TDP have
survived. The farmers approaching these lenders are obviously imposed with high
rates of interest.

in agriculture

There is no
assistance in the form of input subsidy either. As a result of lack of
availability of money to invest, the farmers are unable to dare to sow for
their next crop. 


Back to Top