New Delhi: The government on Friday announced it will offer subsidy on diesel, power and seeds to farmers in case of deficient monsoon affecting crops.
Union Agriculture Minister Radha Mohan Singh on Friday held a meeting with senior officials of India Meteorological Department (IMD), which earlier in the week had revised monsoon forecast to "deficient", triggering drought fears.
Officials from power, water resource, rural development, food and fertiliser ministries, among others were also present in the meet.
"We will offer subsidy on diesel, power and seeds to farmers like last year to deal with drought-like situation," Singh said after the meeting.
The minister said the government is fully prepared to face drought-like situation. A nodal officer has been appointed in every departments to deal with deficient monsoon situation.
According to sources, the Centre may continue Rs 10 per litre diesel subsidy in 2015 as well. The subsidy on seeds could be up to 50% under different schemes, they added. Similarly, free power could be given to farmers for irrigation.
Earlier this week, Singh had said that the Centre is ready with contingency plans for 580 districts and is in touch with States and farm research bodies to tackle the situation. A new crop insurance policy will be brought in 2015 to protect farmers' income. The Centre will import pulses to improve domestic supplies and check rising pulses prices.
On June 2, the Met Department revised its forecast from 93% to 88% Long Period Average (LPA), with north-west region of the country expected to be hit the most.
In 2014, the country had received 12% less rains, which hit production of grains, cotton and oilseeds. Growth of agriculture and allied sectors stood at mere 0.2% in the 2014-15 fiscal.
Foodgrains production declined to 251.12 million tonnes in the 2014-15 crop year (July-June) from a record production of 265.04 million tonnes in the previous year.
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