BENGALURU: Finance Minister Arun Jaitley’s pro-farmer pro-rural budget has largely got a thumbs down from farm activists and agriculture experts in Karnataka, a state with 91 percent of its area reeling under severe drought and a rural economy collapse post-demonetisation.
The state’s current agriculture growth rate, despite the drought, is an estimated 4.2 per cent, marginally higher than the 4.1 per cent that Jaitley has projected for the country. Most crops have failed. A few, like tur, ground nut, onion and copra have had a good harvest, but due to the demonetisation, there is a cash crunch and prices have crashed, making liquidity in the rural economy a matter for severe concern.
Farmer activist G Mallesh said: “What is the use of Rs 10 lakh crore credit limit announced in the budget, when the banks don’t give it to the farmers? As for increase in insurance coverage, my district of Chamarajanagar is 100 percent under drought, but insurance companies have not given us any compensation at all. The rural economy has collapsed, so much more needs to be done, but that has not been tackled.”
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