Farm loan at zero per cent still eludes Chhattisgarh

Farm loan at zero per cent interest rate will remain a dream for farmers in this kharif season in Chhattisgarh. Because the state government has failed to take any decision on the issue as promised by the ruling party before the state polls in November last.

The state government failed to make budgetary provision for the farm loan at zero per cent interest rate in the budget outlay for the fiscal 2009-10. "Hence, it is not possible for the department to introduce the scheme for the kharif 2009 season," a senior official of the department of Agriculture said.

The ruling Bharatiya Janata Party (BJP) had promised in its election manifesto to provide loans to the farmers at zero per cent interest rate. The state cooperative banks who disburse the loans have not received any official communication from the state government to give loans to the farmers without any interest rate.

State's agriculture minister Chandrashekhar Sahu, however, refused to comment on the issue.

Sources in the banks said the farmers would get loans for the kharif season at three per cent interest rate. The banks had set a target of disbursing loans to the tune of Rs 1,000 crore this year. The amount is Rs 350 crore more that the loan amount distributed to the farmers in the last kharif season.

About 8,00000 farmers in the state are likely to avail the loan from the cooperative banks. The loan would be given to the farmers for purchasing fertilizers and seeds. The banks had set up 1333 primary cooperative societies from where the loans would be disbursed to the farmers.