Financial package for Andhra farmers

New Delhi, July 28 (UNI) A financial package to mitigate the sufferings of the farmers of Andhra Pradesh is being worked out.

''Proposals have been received from the Andhra Pradesh government, and the Ministry of Agriculture is considering a package,'' Finance Minister P Chidambaram informed the Lok Sabha.

He said once the Agriculture Ministry finalised the package, the Finance Ministry would pitch in to provide money.

He was replying to supplementaries by members from Andhra Praesh who, while pointing out that about 4,000 farmers have committed suicide since 20004, demanded a relief package on the lines of that given to the Vidharbha region.

The Union Cabinet had last night cleared the Vidharbha relief package under which an entire interest of Rs 712 crore on overdue loans as on July 1, 2006 in the six affected districts was waived, and an additional credit flow of Rs 1,275 crore was approved.

In reply to another supplementary, Mr Chidambaram said the government had taken measures to help increase credit flow to small farmers who were tenant farmers through the instrument of self help groups, and he was confident that by this yearend there would be an increase in the proportion of laons given to them.

UNI YJ VD HT1302