The Hindu Business Line : House panel moots inclusion of more crops in distressed list

The Subordinate Legislation Committee of the Kerala Assembly has recommended that crops such as pepper, coconut and arecanut should also be included in the list of distressed crops for purpose of extending agricultural debt relief to farmers.

The committee, in its report, has pointed out that the Kerala Agricultural Debt Relief Commission has declared only Wayanad as distressed district till now and cardamom, coffee and tea as distressed crops. But, pepper, which is the main crop in the hill areas, has not been included in the list and this has landed the farmers in misery in the wake of crop loss and fall in prices.

District-wise study

The committee has also suggested that the commission, though conducted sittings in various districts, should carry out studies about crop losses in each district and recommend to the Government as to what all crops are to be declared as distressed.

Also, since priority in extending debt relief is given to districts that are declared as distressed, the commission should identify such districts and recommend them to the Government.

The representatives of co-operative banks have complained at meetings conducted by the committee that extending debt relief has adversely affected the working of the banks as they do not get back the funds paid out as loans.

Succour to co-op banks

In this circumstance, the cooperative banks should be fully excluded from shouldering the liabilities resulting from loan write-offs and the Government itself should take over the burden.

The relief commission has received around four lakh applications from various districts till October 31, 2008, and it has taken decisions in the case of only 14,000 of them.

It has been pointed out at meetings that the commission has been unable to take timely decisions due to the delay in sorting out the applications.

It being so, the committee has recommended that measures such as ensuring close cooperation of Revenue and Agriculture departments, computerisation of works and appointment of required staff, be initiated to complete the sorting of applications without further delay and help the commission take decisions on all applications before the end of its term in office.