President Pratiba Patil today said the Centre is consulting state governments on the proposed National Food Security Act (NFSA), which will give the poor a legal entitlement to subsidised foodgrains. “The states are being consulted as the success of the programme (NFSA) hinges critically on their commitment to reforms in the public distribution system (PDS),” Ms. Patil said in her address to Parliament to mark the beginning of the Budget Session. The...

Non availability of timely credit has been a major drawback for the agricultural sector of India. In a country which relies mostly on agriculture, constant endeavors are needed to see that rural and agricultural credit facilities are enhanced with time. As a part of these efforts, agricultural credit cards got introduced in the agricultural lending system. Similarly cash credit facility was also being offered by many banks. However, a major shortfall...

Amidst hue and cry over micro-finance institutions (MFIs) charging the rural poor exorbitant interest rates, Reserve Bank of India norms continue to allow these entities a free hand in determining their charges. The banks lending to MFIs too continue to have full discretion in fixing their rate of interest. RBI has issued a latest master circular reiterating its earlier stand on micro-credit on February 14. Master circulars are like ready-reckoners on...

The 50-year-old farmer knew from experience that his onion crop was doomed when torrential rains pounded his fields throughout September, a month when the Indian monsoon normally peters out. For lack of modern agricultural systems in this part of rural India, his land does not have adequate drainage trenches, and he has no safe, dry place to store onions. The farmer, Arun Namder Talele, said he lost 70 percent of...

Some members of the National Advisory Council , or NAC, are of the view that a small group in the council is driving its agenda to an extreme, making its recommendations vulnerable to government's rejection on the grounds of fiscal prudence. This not only ends wasting everyone's time, but also does a disservice to the poor and disadvantaged the council seeks to help, by indefinitely delaying progressive legislation, goes the...