Cabinet extends Agri Infra Fund loans to APMCs

The Centre has determined to permit state-run market yards to entry financing services by its Agricultural Infrastructure Fund to calm the fears of protesting farmers that such market yards are being weakened.

On Friday, at its first assembly after the reshuffle, the Union Cabinet determined to lengthen the Central Sector Scheme of financing facility underneath the Agriculture Infrastructure Fund to State companies and Agricultural Produce Marketing Committees (APMCs), in addition to federations of cooperative organisations, Farmers Producers Organizations and self assist teams, in accordance to an official assertion. They will now be eligible for curiosity subvention for loans up to ₹2 crore, with APMCs allowed to entry separate loans for various sorts of infrastructure tasks to construct chilly storage, silos, sorting, grading and assaying items of their market yards.

Multiplier impact

The interval of the monetary facility has been prolonged by two extra years up to 2025-26, whereas the general interval of the scheme has been prolonged to 2032-33. “The modifications in the Scheme will help to achieve a multiplier effect in generating investments while ensuring that the benefits reach small and marginal farmers. The APMC markets are set up to provide market linkages and create an ecosystem of post-harvest public infrastructure open to all farmers,” stated the assertion.

Briefing journalists on the Cabinet choice, Agriculture Minister Narendra Singh Tomar stated this was proof that “APMC will not end”. The Central authorities was dedicated to making APMC extra highly effective and helpful for farmers, he stated.

Thousands of protesting farmers have been calling for a repeal of three farm reform legal guidelines handed by Parliament final 12 months. One of their considerations has been that by encouraging tax-free agricultural commerce exterior of the APMCs, the Centre was weakening the APMC system and opening the way in which for company exploitation of farmers. In many States, the APMC yards are additionally the placement for presidency procurement of crops at minimal assist costs (MSP).

“There was apprehension that MSP will be scrapped. However, since the farmers’ protest began, the procurement of foodgrains, pulses and oilseeds has only increased,” stated Mr. Tomar.

Appeal to farm unions

He appealed to the protesting farm unions to finish their agitation and resume talks with the federal government for doable modification of provisions within the three legal guidelines. However, he dominated out repeal of the contentious Acts.

The farm unions have stated they won’t take part in such ‘conditional’ talks. They plan to intensify their agitation throughout the upcoming monsoon session of Parliament.