Union Budget fails to enthuse delta region farmers in Tamil Nadu

The Union Budget has evoked mixed reactions from the farming community in the delta region. A cross-section of the farmers representatives expressed disappointment over the “lack of initiatives” to ensure remunerative prices for agriculture produce.

Terming the Budget unsatisfactory, P. Ayyakannu, president, Desiya Thennidia Nadigal Inaippu Vivasayigal Sangam, observed that there was nothing in the Budget to give comfort to the farmers. The Centre said that they would ensure profitable prices for agricultural prices, at least 50% over and above the cost of cultivation. But there has been no initiative towards ensuring this.

The Finance Minister has promised to provide ₹20 lakh crore as agricultural credit targeted at animal husbandry, dairy and fisheries sector. “Farmers are perennially in debt. Unless profitable prices were given for their produce, farmers will not be able to come out of the red,” Mr. Ayyakannu maintained. He also found fault with the Centre for failing to make available funds for Godavari-Cauvery river linking project.

“The government has been providing interest subvention on short-term crop loans. We were demanding that all agriculture-related credit be offered at 6% interest under single tier system across all lending institutions and reduction in the GST on farm machinery and equipment to 6%. Besides, tenant farmers should also be made eligible for assistance under the PM Kisan Samman Nidhi. But none of these expectations have been met in the Budget,” said Cauvery Dhanapalan, president, Tamil Nadu Vivasaya Sangankalin Kootamaippu.

He also criticised the Finance Minister for extending financial assistance specifically for Karnataka for sustainable micro irrigation in drought prone regions in the State. “We would have welcomed it, if the Union government had extended the assistance to all states,” Mr. Dhanapalan said.

The Finance Minister’s move to earmark of ₹20 lakh crore for targeted agricultural credit and the initiative for promoting green energy were welcomed by Mahadhanapuram V.Rajaram, president, Cauvery Irrigation Farmers Welfare Association. “This is a Budget drawn with an eye on the forthcoming elections. We need to see what will be the actual benefits/ allocation for Tamil Nadu,” Mr. Rajaram said.

P. Viswanathan, president, Tamizhaga Eri Mattrum Attru Pasana Vivasayigal Sangam, too welcomed the move to set aside ₹20 lakh crore for agriculture credit but felt that the assistance extended to farmers under the PM Kisan scheme should have been increased to ₹9,000 a year. It is disappointing that the farmers demand for exempting farm machinery from GST has not been conceded, he said.

N. Veerasekaran, State Secretary, Bharatiya Kisan Sangam, welcomed the move to support one crore farmers to adopt natural farming and the announcement on the launch of the GOBARdhan scheme to promote circular economy.