Farm loan waiver essay

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Official websites use. Share sensitive information only on official, secure websites. The Farm Service Agency offers loans to help farmers and ranchers get the financing they need to start, expand or maintain a family farm. Operating Loans can be used to purchase livestock, seed and equipment. It can also cover farm operating costs and family living expenses while a farm gets up and running. Read more.
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Farm loan waivers: Worried bank chiefs sound dissent note

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Farm Loan Waiver - Essay - Royalnirankar

Farm loans are loans taken from the banks by the farmers for agriculture requisites and production. In a farm loan waiver scheme, the Centre or the state Government repays the loan to the banks on behalf of the farmers, simply by using public money collected in the form of taxes. When there is a poor monsoon or natural calamity, farmers cannot repay their loans. Political party uses this problem during election time and promise loan waiver in their manifesto. Indian Agriculture sector has been facing several issues such as fragmented land holding, depleting water table, deteriorating soil quality, rising input costs, low productivity along with high dependence on monsoon. The vagaries of the nature often lead to poor outputs forcing farmers to depend heavily on credits.
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Farm Loan Waiver

Farmer Loan Waiver Essay one of the important topic especially during poll season for any selection process to test students awareness. Providing loans and then waiving them off is surely beneficial for political parties for vote-bank, but from being a temporary view, it has increasingly become a trend, which is not economical. Reserve Bank of India Governor Urjit Patel has sounded the alarm on state governments waiving farm loans and has called for a consensus to do away with them to avoid damaging the national balance sheet.
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In India where annual agriculture waste is about Rs 96, crore, farm loan waiver is just a poll sop with no long term economic gain for farmers in distress. The money waived could be invested for creating infrastructure that makes farmers independent of cartel of traders and help them to reap maximum economic benefit of their produce. Yogi AdityaNath , Uttar Pradesh chief minister, on Tuesday announced a farm loan waiver of Rs 36, crore prompting farmers in other states Haryana , Maharashtra , Madhya Pradesh and Rajasthan to demand a similar relief.
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