Relief & help to farmers good decision: CAI on Budget

“The budget proposes a big help of ₹6,000 per year to more than 1.2 crore farmers, those who have land below 2 hectares. It also proposes great relief to the middle class and working salaried class by giving 0 per cent income tax slab up to ₹5 lakh and up to ₹6.5 lakh (with ₹1.5 lakh 80C benefit),” he said in a press release.

Under the Pradhan Mantri KIsan SAmman Nidhi (PM-KISAN) programme announced by the finance minister in his budget speech, vulnerable landholding farmer families, having cultivable land up to 2 hectares, will be provided direct income support at the rate of ₹6,000 per year. “This income support will be transferred directly into the bank accounts of beneficiary farmers, in three equal instalments of ₹2,000 each. This programme will be funded by Government of India. Around 12 crore small and marginal farmer families are expected to benefit from this.”

PM-KISAM programme would be made effective from December 1, 2018 and the first instalment for the period up to March 31, 2019 would be paid during this year itself. This programme will entail an annual expenditure of ₹75,000 crore for the exchequer.

The government has also increased the benefit of interest subvention to the entire period of reschedulement of loan in case of natural calamities. “When natural calamities strike, farmers are generally unable to repay their crop loans. Presently, the crop loans are rescheduled for such affected farmers and they get benefit of interest subvention of 2 per cent only for the first year of the rescheduled loan. Our government has now decided that all farmers affected by severe natural calamities, where assistance is provided from National Disaster Relief Fund (NDRF), will be provided the benefit of interest subvention of 2 per cent and prompt repayment incentive of 3 per cent for the entire period of reschedulement of their loans,” Goyal said in his budget speech. (RKS)

Fibre2Fashion News Desk – India