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LATEST NEWS UPDATES | UP to implement agriculture insurance scheme

UP to implement agriculture insurance scheme

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published Published on Dec 30, 2010   modified Modified on Dec 30, 2010

Showing its concern for farmers, the Mayawati government on Wednesday decided to implement the amended national agriculture insurance scheme (NAIS) and the all weather-based crop insurance scheme from the current sowing season. Both these schemes involve an expenditure of Rs 900 lakh.

A decision to this effect was taken at a cabinet meeting presided over by chief minister Mayawati here on Wednesday.

The NAIS, according to an official release, will be implemented as a pilot project in four districts -- Bulandshahr, Lalitpur, Unnao and Varanasi as per guidelines of the Centre under the supervision of a committee headed by agriculture production commissioner (APC). Under this, insurance cover will be provided for crops notified by the gram panchayat. The crops to be insured in the above-mentioned districts are: wheat and potato in Bulandshahr, wheat, mustard and potato in Unnao, wheat, gram and peas in Lalitpur and only wheat in Varanasi. While insurance cover will be mandatory for farmers with cooperative loans, for others, this will be optional.

The cut-off date for insurance of kharif crop will be June 30 and for rabi crop, this will be December 31 of every year. While the farmers will have to pay a certain amount of premium, the rest will be shared equally both by the state and the Centre in the form of grants-in aid. The scheme will be implemented by the Agriculture Insurance Company of India Ltd and the insurance cover will be effective from the time of tilling of field to the harvesting of crop.

In situation of loss of crop due to bad weather and the yield on account of this expected to fall below 50 per cent, the insured farmers will be compensated for 25 per cent of crop loss and this will be paid cash in advance.

Likewise, farmers will also be compensated for the loss maximum up to 25 per cent of their crop yield if the sowing is affected partially and completely due to deficient or excessive rains. However, in that situation the insurance against the crop will automatically come to an end. Loss due to landslide, hailstorm and other natural calamities, will be assessed for compensation purposes locally by insurance company.

Besides this, the cabinet also cleared a Rs 300 lakh all weather crop insurance scheme for three districts -- Baghpat, Aurraiya and Jaunpur -- both for Kharif and Rabi crops. By and large modelled on the NAIS, the scheme envisages to cover wheat, gram, peas and mustard under the insurance cover in the above mentioned three districts.

By another major decision, the government addressing its concern to those of deprived sections of the society, decided to increase free boring charges from existing Rs 6,000 to Rs 10,000 for those of marginal farmers belonging to the Scheduled Castes and Scheduled Tribes.

For legislators, the cabinet decided to increase monthly telephone/mobile allowance to Rs 6,000 and also made them entitled to browse internet on their mobile. Likewise, the cabinet also decided to give lifelong pension to the spouse of those legislators, who die in harness. This will be effective from March 5, 2010.

The cabinet also increased honorarium for office bearers of consumer forums. The hike for members of the state consumer forum will be: Monthly honorarium from existing Rs 6,922 to Rs 15,000; house rent allowance from Rs 1,500 to Rs 3,000 per month and conveyance allowance from Rs 1,380 to Rs 2,630 per month. Likewise, the district forum member will now get an increase from Rs 4,616 to Rs 10,176 as monthly honorarium, Rs 1,800 as house rent allowance in place of Rs 1,200 and Rs 1,830 as conveyance allowance in place of Rs 830.

By other decisions, the cabinet approved compounding schemes for payment of trade taxes by brick-kilns, tent owners etc and provided government guarantee to the UP Cooperative Mills Federation for its cash-credit limit of Rs 1,414.17 crore for its operational cost and the repayment of cane purchased for crushing from the farmers.


The Times of India, 30 December, 2010, http://timesofindia.indiatimes.com/city/lucknow/UP-to-implement-agriculture-insurance-scheme-/articleshow/7187498.cms


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