Karnataka seeks loans at 4% for milk farmers

New Delhi, July 5 (UNI) Karnataka today urged the Centre to fix the loans given to milk farmers at four per cent following the footsteps of the state government which has provided farm loans at four per cent in the state.

The suggestion to this effect was made by Karnataka Milk Federation President and state PWD Minister H D Revanna at the meeting of State Animal Husbandry ministers convened by Agriculture Minister Sharad Pawar.

The Government has fixed the interest rate at nine per cent which is far too much for the farmers to bear, Mr Revanna told newspersons here after the meeting.

He said the state government apprised the meeting that it was the second biggest producer of milk after Gujarat with a production of 30 lakh tonnes.

The Centre wanted the milk production in the country to go up to 180 millon litres a day from 100 million litres through providing for improved breeding, feeding for the cattles, he said.

It had come forward with a Rs 15,600 crore plan to be implemented in the next 15 years through National Dairy Development Board and National Bank for Agriculture and Rural Development.

The Government was also interested in bringing the milk production in organised sector where 70 per cent production was still was in unorganised sector. The state had told the government that it should be consulted while declaring the backward districts as far as milk production was concerned.

The state had suggested to provide 50 per cent subsidy for all the cattle feed units found feasible by the NDDB to help the farmers and the milk sector.

UNI