Farmers start getting crop loans

PACCS will process loan applications as usual but farmers have to open savings bank account

The disbursal of crop loans to farmers through Primary Agricultural Cooperative Credit Society (PACCS), which was delayed following the demonetisation of high value currencies, began here on Sunday.

Minister for Tourism Vellamandi N. Natarajan disbursed loan to about 120 farmers to the tune of Rs. 64.95 lakh in the presence of the Minister for Backward Class and Minorities S. Valarmathi, Collector K.S. Palanisamy and the Joint Registrar of Cooperatives K.C. Ravichandran.

As per the new arrangement, the Primary Agricultural Cooperative Credit Societies will process the loan applications as usual and sanction loan to farmers. The PACCS will distribute a portion of loan by way of fertilizer and inputs.

However, they cannot distribute cash directly to the farmers. They will have to open savings bank account in the nearby branch of Central Cooperative Bank so as to receive the cash portion of loan.

Mr. Palanisamy said that the new arrangement would facilitate the farmers get crop loans as usual.

They could withdraw the cash portion of loans from their respective branch of Central Cooperative Bank. They could withdraw a maximum of Rs.25,000 a week. They could use cheque book facility for payments.

Mr. Ravichandran said that it had been decided to issue crop loans to the tune of Rs.100 crore this season in the district.

There were 147 PACCS in the district.

Each PACCS would disburse crop loans to 10 farmers a day.

A total of 35,000 farmers would get crop loans before December 31.

Nagapattinam

The Cooperative Department has fixed a credit target of Rs. 120 crore to benefit farmers during the current financial year of which Rs. 88 crore had been disbursed so far, said O. S. Manian, Minister for Handlooms and Textiles.

Speaking after disbursing farm loans sanctioned by the Kumbakonam District Central Cooperative Bank at a function to mark the valediction of the All India Cooperative Week celebrations here on Sunday, he outlined the steps taken by the government to protect farmers. The department had waived loans and interest, worth Rs. 57.80 crore, of small and marginal farmers.

He gave away cheques totalling Rs. 45.47 lakh to 130 farmers on the occasion.

Collector S. Palanisamy presided. Asaimani, president of the bank, and G. Gandhinathan, Joint Registrar of Co-operative Societies, spoke.