Chikkamagaluru-Udupi Lok Sabha member Shobha Karandlaje on Wednesday met Union Finance Minister Nirmala Sitharaman and requested her to restructure coffee growers' crop loan as a relief package.
In her memorandum to the Union Minister, Karandlaje said coffee growers in the country have been suffering huge losses due to the impact of the climatic conditions.
The coffee growers in Karnataka and other states have suffered a severe blow in the past few years due to floods and drought, she said.
As a relief package, the Centre should take steps to restructure their short-term and long-term crop loans and make it one long-term loan with a reduced interest rate, Karandlaje added.
All crop loans and development loans availed by coffee growers, including accrued interest, should be converted into long-term loans for a nine-year period with a 2-year moratorium and a reduced interest rate of 3 %, she suggested.
She also urged the Minister to take steps to sanction new loans to all coffee growers with 3 % interest through commercial banks.
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