Fresh E-sops to cost over Rs 13,000 crore

In fresh pre-poll largesse, the Cabinet approved a Rs 12,390 crore scheme for upgrading amenities in rural areas, reduced the interest rates on loans under the Accelerated Irrigation Benefit Programme from 10.5 per cent to 6.5 per cent, provided for a grant to farmers, sanctioned Rs 500 crore for Krishi Vigyan Kendras to impart vocational training to farmers and announced a National Policy for urban street vendors, which besides regularising hawking will also provide land lease deeds to the community.

The total cost of all these schemes is estimated at over Rs 13,000 crore.

The Cabinet, which met today, also freed procurement of foodgrain by the private sector for export and decided to provide export subsidy at "WTO-compatible costs" to all foodgrain on the lines of a scheme for the Food Corporation of India.

To check any shortages under the foodgrain export programme, the commerce and food and consumer affairs ministries will work out a detailed export plan every year.

The government also set up a National Commission for Farmers, with a two-year term and the mandate to analyse the effectiveness of the price and marketing policies and legal regimes, study the developments that have a bearing on the sustainability and viability of small holdings, recommend policies for increasing agricultural productivity and output and evaluate generation and dissemination of agricultural technology.

Further, the Cabinet Committee on Economic Affairs, which also met under the chairmanship of Prime Minister Atal Bihari Vajpayee, approved a centrally sponsored scheme on development of marine fisheries, infrastructure and post-harvest operations during the Tenth Five Year Plan.

The scheme will provide subsidy on high-speed diesel, equipment like deep sea vessels, motorised boats, dredging equipment and wireless sets.

It also cleared a scheme for development of inland fisheries and aquaculture at an outlay of Rs 175 crore during the Tenth Plan besides a programme on high-value agriculture in Lakshadweep and Andaman & Nicobar Islands.

Under the Rs 12,390 crore scheme called 'Providing Rural Amenities in Urban Areas' (Pura), 4,000-5,000 rural clusters bordering towns with over 100,000 population will be provided road and power connectivity besides making available telecom and Internet facilities.

The cost of the scheme, which is to be cleared by the CCEA, is estimated over a period of five years and will provide market connectivity to farmers besides creating good educational and vocational institutes.

The national policy for street vendors, under the purview of states and to be implemented by municipalities, seeks to provide legal status to vendors through a legal framework besides creating hawking zones and providing access to credit as well as a social security net.

Briefing reporters, Parliamentary Affairs Minister Sushma Swaraj said the accelerated irrigation benefit programme had been expanded to cover existing schemes and would include a grant component varying between 30 per cent for general category states and 70 per cent for special category states.

The CCEA approved the continuation of 273 Krishi Vigyan Kendras and eight zonal co-ordination centres at a total cost of Rs 497 crore. Besides a Rs 38.27 crore package for providing electronic linkage for soil and water testing facilities was also cleared.