Punjab also joins the list of states to have announced loan waiver to the farmers. After witnessing the agitation and protests of the farmers in quite a few states for few days the government of these states have agreed to the demand of loan waive off.
Farmers had been putting up protest demanding for increase in the minimum support price (MPS) set for the farm products and to completely waive off the loans. The protest began because in spite of bumper crop this year the farmers were unable to their debts as they did not get the deserved price for their farm products. The protest became violent when 5 farmers were killed during a police firing in Mandsaur district of Madhya Pradesh.
To restore peace, government of Madhya Pradesh, Uttar Pradesh, Andhra Pradesh, Telangana, and Maharashtra had agreed to the demands of loan waiver ‘in principle’.
Punjab has also now agreed to waive off loan going a step ahead of other BJP ruled states. Punjab chief minister Captain Amarinder Singh on Monday announced crop loan waiver of up to Rs 2 lakh for small and marginal farmers having less than 5 acre of land holding and a flat Rs 2 lakh waiver for marginal farmers having a bigger land holding. The move is likely to benefit 10.25 lakh farmers in Punjab.
Congress had promised a loan waiver during Punjab polls. UP will bear a burden of nearly Rs 36,500 cr due to the loan waiver while Maharashtra is expected to bear a loan waiver amounting to nearly Rs 25,000 cr. Punjab has not specified the total burden but claimed its offer is far more attractive for the state’s farmers than their counterparts in the two BJP-ruled states.