Govt mulls diesel subsidy for irrigation if monsoon is poor

Image
Press Trust of India New Delhi
Last Updated : Jun 09 2014 | 8:26 PM IST
With growing expectations of a subnormal monsoon this year, Agriculture Minister Radha Mohan Singh today said his department will soon move a cabinet note to introduce a diesel subsidy scheme to provide irrigation to protect standing crops in the event of a rainfall deficit.
In its second forecast today, the Indian Meteorological Department (IMD) said the southwest monsoon may be below normal, with the country likely to receive 93 per cent of the long-period average rainfall. It also indicated the likelihood of the El Nino effect, which may result in deficient rains, especially in the latter half of the monsoon season.
"We are fully geared up to face any drought situation. We are alert and seriously working on measures to meet any eventualities arising out of drought or deficit rainfall situation," Singh said.
"We will soon move a cabinet note seeking approval for introduction of a diesel subsidy scheme for providing protective irrigation to standing crops in rainfall deficit areas," he said.
During the drought years in 2009 and 2012, the previous United Progressive Alliance government had announced a 50 per cent diesel subsidy for farmers in rainfall deficit areas. Sources said the ministry is working on a similar scheme.
Besides the diesel subsidy, Singh said his ministry is working on a cabinet note to seek permission on six key measures much in advance so that they can be implemented quickly if states declare a drought.
The other cabinet proposals include rescheduling crop loans and providing interest subvention in drought-hit areas.
It proposes to raise the subsidy ceiling to buy seeds, including drought-tolerant varieties, and partially compensate farmers for resowing, he said.
Implementation of a special scheme for rejuvenation of perennial horticultural crops under the National Horticulture Mission, additional budget allocation under the Accelerated Fodder Development Programme to rainfall deficit states and additional allocation under the Rashtriya Kirshi Vikas Yojana (RKVY) and the National Mission on Sustainable Agriculture for drought mitigation measures are other cabinet proposals that the ministry is working on, he added.
Singh said state governments have been advised to consult the National Crisis Management Plan on drought while managing any probable drought or rainfall deficit situation.
*Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Exclusive premium stories online

  • Over 30 premium stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

More From This Section

First Published: Jun 09 2014 | 8:26 PM IST

Next Story