Question : VIDARBHA PACKAGE



(a) whether the Hon`ble Prime Minister has sanctioned an amount of Rs.34750 crore as Vidarbha Package for the development of the Vidarbha region of Maharashtra;

(b) if so, the details thereof;

(c) the present status of the fund including the amount of funds released till date; and

(d) the various schemes for which the fund has been released?

Answer given by the minister


MINISTER OF THE STATE IN THE MINISTRY OF PLANNING (SHRI M.V. RAJASEKHARAN)

(a): Government of India has approved a special rehabilitation package for six districts of Maharashtra namely; Wardha, Yavatmal, Amravati, Akola, Buldhana and Washim involving an amount of Rs. 3873.26 crore.

(b): Details of the Vidharbha Package announced by Hon`ble Prime Minister is at Annexure I.

(c) & (d): The scheme-wise progress of funds released under the Vidharbha Package is at Annexure II.

Annexure-I

Details of the Rehabilitation Package announced by the Prime Minister for Vidarbha region of Maharashtra

(i) Ex-gratia assistance from PMNRF: To alleviate the sufferings of debt stressed farmers, a sum of Rs. 50 lakhs/district would be placed at the disposal of respective District Collectors.

(ii) Debt relief to farmers: Debt relief package announced by the Government of India on 18th June, 2004 will be further liberalized to provide relief to the farmers in the identified districts. It is estimated that Rs. 1296 crore of overdue loan amount as on 30th June, 2006 in the identified districts of Vidarbha in Maharashtra will be restructured/rescheduled under the debt relief package for farmers in distress or farmers in arrears. Debt relief will be provided to the farmers and they will become eligible for fresh loan under the package. Detailed guidelines to operationalise the special debt relief package will be issued by RBI/NABARD.

(iii) Credit Flow: An additional credit flow of Rs. 1275.00 crore will be ensured in these six districts in 2006-07. Special teams comprising NABARD and the Lead Banks will be deputed to ensure that the distressed farmers` accounts are restructured/ rescheduled in a time bound manner and fresh credit starts flowing.

(iv) Interest Waiver: The entire interest on overdue agricultural loans as on 1st July 2006 will be waived in the six affected districts so that all the farmers will have no past interest burden as on that date. This measure will make them immediately eligible for fresh loan from the banking system. The amount of interest on overdue loans in these six districts as on 1st July 2006 is estimated to be Rs. 712 crore. The burden of interest waiver will be shared equally between the Central and the State Government. While apportioning the burden of overdue interest waiver equally between the Government of India and the states, due care would be taken to offset releases, if any, already made by the State Governments on this count.

(v) Assured Irrigation Facilities : 1.59 lakh ha. area will be brought under assured irrigation facilities at a cost of Rs. 2177.00 crore over a period of three years through completion of all major, medium, minor irrigation projects.

(vi) Seed Replacement Programme: A massive Seed Replacement Programme will be undertaken with 50% subsidy in the identified districts . The entitlement for quality seed is being increased from half acre per farmer to one hectare per farmer. This Programme is expected to cost Rs. 180 crore over a period of three years.

(vii) Watershed Development: Watershed Development programme will be undertaken covering following components :

# Construction of 500 check dams per year per district over the next three years. The programme will cost Rs. 60.00 crore per year.

# Treatment of 15,000 ha. per year per district under watershed development programme for which grant support of Rs. 60 lakhs per watershed of 1000 hectare area each, entailing an outlay of Rs. 54.00 crore per year will be provided.

# Rain water harvesting structures covering 1000 beneficiaries per district per year for accelerated growth of irrigation potential to benefit SC/ST beneficiaries including small and marginal farmers. Financial assistance for the scheme will be provided in the form of 50% back ended capital subsidy alongwith 50% bank loan. The scheme will involve subsidy assistance of Rs. 1.00 crore per district per year.

(viii) Horticulture Development: All the identified districts will be covered under the National Horticulture Mission. A Technology Mission on Citrus for addressing the problems of citrus production, protection, post harvest technology and processing in Vidarbha will be launched under the supervision of National Research Center on Citrus- Nagpur.

(ix) Micro Irrigation: All the six districts are covered under the scheme of micro irrigation. The program will be intensified to cover 53400 hectare under drip and sprinkler irrigation involving an investment of Rs. 78.00 crore @ Rs.26.00 Crore per year.

(x) Extension Services: Effective and efficient extension service mechanism will be put in place in the identified districts for empowering the farmers. Agriculture technology management agencies (ATMA) will be operationalised in all the districts to ensure extension support and convergence at district level.

(xi) Subsidiary Income: The components relating to livestock and fisheries will involve:

# Induction of 1000 High Yielding Milch Animals per district per year with 50 % subsidy (balance bank credit).

# Induction of 500 female calves per district per year providing 50 % of rearing cost.

# Supply of fodder blocks for feeding inducted animals with 25 % subsidy.

# Establishment of four-fodder block making units with 50 % subsidy (balance bank credit).

# Provision of adequate health care to all animals.

# Taking up massive A I program and estrus synchronization of 70 % breedable animals.

# Establishment of 10 milk chilling plants.

# Fisheries in 100 hectares per district providing 40 % of capital and input cost as subsidy and rest to be sourced through bank credit.

# The package for livestock/fisheries/fodder bank will involve support of Rs.135 Crores.

(xii) Implementation Mechanism

$ State Level Coordination & Supervision Committee including representatives of the Government of India and the State Government, and

$ Implementation through District Level Committee, Panchayati Raj Institutions.

$ Creation of appropriate Institutional Structures and Special Purpose Cooperatives/Community Based Organizations at local level for delivery of the package and optimum utilization of resources in a time bound manner.