Farm credit set for steep hike: Sonia

A day after asking the Congress-led government to focus on welfare of the farmers by stepping up farm credit, UPA Chairperson Sonia Gandhi today told farmers in Maharashtra that the ruling coalition at the Centre was set to hike farm loan disbursements by Rs 50,000 crore.

The previous NDA government allocated Rs 80,000 crore for agricultural loans every year which the UPA government increased to over Rs 1,00,000 crore, she told a farmers' rally on the first day of her two-day visit to the state.

Sonia had yesterday stressed the need for continuing special focus on small and marginal farmers through steps like hike in agriculture credit.

Stating that the UPA government had initiated moves to safeguard interests of the farming community, she expressed concern over growing suicides by cotton growers in the Vidarbha region of Maharashtra.

"The incidents of suicides of cotton growers in Vidarbha are increasing. This is a matter of concern...such incidents should be thoroughly investigated," she said.

Six farmers have committed suicide in this sugarcane and cotton belt of Maharashtra this season. Stating that problems related to irrigation and crop insurance need to be solved immediately, Sonia said, "Farmers are an inevitable part of the country's economy and the government is bound to preserve their rights."

"A happy farmer is sign of a happy nation and we must attempt to fulfil this dream," Sonia said in her short address.

She said that the party was committed to its ideology of putting "farmer first" and would continue to fight to safeguard their interests.

Maharashtra Chief Minister Vilasrao Deshmukh said the state government would provide agricultural loans at an interest rate of six per cent from the next kharif season.

The Congress president's tour to Maharashtra assumes significance in the backdrop of the party's recent success in the state Assembly bypolls, in which it emerged victorious on the five of six seats that it contested.