Where is the waiver? Farmers with crop loans over Rs 2 lakh stare at uncertainty

For the last two months, farmers have been frequenting mandal-level agriculture offices, hoping for some good news on the waiver. But, nothing on the anvil, say officials

Hyderabad: Farmers have been eagerly awaiting the implementation of a crop loan waiver for loans exceeding Rs 2 lakh. Despite assurances from Ministers and elected representatives from the Congress party, the waiver is yet to be implemented. The government is expected to make a decision only after the local body elections. For the last two months, farmers have been frequenting mandal-level agriculture offices, hoping for some good news on the waiver. However, officials have stated that they have received no instructions from the administration on the waiver. No release of funds for this purpose could be expected in near future either.

They believe the government will take a call on these loans only after the local body polls, or possibly even later. Over two lakh farmers with crop loans above Rs 2 lakh have been waiting for the waiver. The cash-strapped government, already grappling with issues related to the long-pending Rythu Bharosa payments, may find it difficult to say no to these farmers.

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This vocal section of society wields considerable influence in the villages and cannot be easily placated or disappointed. The delay in the waiver has left farmers in a state of uncertainty, as they continue to hope for relief from their mounting debts.

K V L Narasimha Rao, a farmer from Nelakondapalli village near Kodad approached the local Agriculture extension officer on the waiver issue. He has nearly 60 acres in cultivation and borrowed Rs.2.6 lakh from two banks for crop investment. The AEO concerned has clarified that no communication has been received so far on the waiver of crop loans above Rs 2 lakh. There was no indication when they were going to be waived.

In fact, the Congress government’s crop loan waiver programme in the State initially expected to provide relief to many farmers, has instead left many disillusioned. Despite its rollout in four phases, complaints are mounting. The government has claimed to have released funds for the waiver of all accounts with an outstanding of up to Rs 2 lakh as part of the fourth phase. Officials contacted on Friday said the waiver process was still in progress.

Over one lakh complaints pertaining to the last three phases were taken up with Agriculture department officials and bankers, but according to sources, hardly about 25 per cent of these were addressed. Much to the dismay of farmers, waiver money deposited in over 28,000 accounts was reversed and returned to the government’s coffers. Even the BRS helpline has received over 1.5 lakh complaints on the loan waiver, highlighting the gravity of the issue.

Many farmers from Potharam revenue village in Siddipet district have experienced the same. Local agriculture officials suggested they approach the Collector, but no resolution has been achieved so far.

Phase-wise releases

July 18, 2024- Rs 6,098 crore released for crop loan waiver in the first phase to cover 11 lakh farmers with loans of Rs 1 lakh.

July 30, 2024 -Rs 6,198 crores released in the bank accounts in the second phase to cover 6.4 lakh farmers with loans up to Rs 1.5 lakhs.

August 15, 2024 – Rs 5,644 crore released in the third phase giving debt relief to 4,46,000 farmers

December 7, 2024- Rs 2,747 crore released in the fourth phase to cover 3,14,000 farmers with a loan of up to Rs 2 lakh