Coop minister asks officials to prioritise farm loans

Asking District Credit Cooperative (DCC) banks to prioritise farmers loans, cooperation minister ST Somashekar on Wednesday pulled up officials for sanctioning loans to sugar factories outside their district jurisdiction.

The minister, who held a meeting with officials from Bengaluru division on Wednesday, sought details of the amount of loans given to sugar factories and the repaid amount.

Speaking to reporters later, Somashekar said the government wanted to prioritise farm loans and loans given to Stree Shakti groups. “Any given day, there is hundred percent repayment of loans when it comes to Stree Shakti groups, for instance, compared to a sugar factory. If we encourage the self-help groups with loans, they can continue with their enterprises. For example, some of them are making masks, during this period. The Rs 5 lakh interest free loan given to them will be a boost,” the minister said.

The NABARD had given additional Rs 1,750 crore funds this year, of which the target was to give Rs 14,500 loan disbursal to farmers, he said. In the wake of the pre-monsoon season, the government had already given Rs 916 crore loans to about 1.35 lakh farmers. He urged the DCC banks to pay special attention to SC/ST applicants.

Further, defending the recent APMC Act ordinance passed by the government, the minister said it would benefit the farmers.

“The farmer will now have the opportunity to sell it to either a private entity or the APMC, This will give more choice to the farmer.

Opposition parties are protesting against this for their own selfish interests,” he said.