Tamil Nadu Chief Minister C Joseph Vijay has announced a major crop-loan waiver scheme aimed at providing financial relief to farmers across the state.
Under the announcement, farmers with crop loans of up to ₹75,000 will receive a full waiver. The government has also announced partial waivers for farmers whose outstanding crop loans are higher than ₹75,000.
Full Waiver for Loans Up to ₹75,000
According to the Chief Minister, crop loans of up to ₹75,000 will be completely waived.
For loans between ₹75,000 and ₹1 lakh, farmers will receive a waiver of up to ₹75,000.
Farmers with crop loans exceeding ₹1 lakh will be eligible for a waiver of up to ₹35,000.
Over 2.38 Lakh Farmers to Get Additional Relief
The government said the decision will particularly benefit 2,38,264 farmers who have taken crop loans between ₹75,000 and ₹1 lakh.
These farmers will now become eligible for a waiver of up to ₹75,000. This means some beneficiaries could receive an additional waiver of up to ₹40,000 over and above the relief they have already received.
Government to Bear ₹953 Crore Additional Burden
The additional waiver announced under the scheme is expected to cost the state government approximately ₹953.06 crore.
Despite the additional financial burden, the government said it had decided to proceed with the measure keeping the economic difficulties faced by farmers in mind.
₹6,220 Crore Loan Waiver for 13.34 Lakh Farmers
The Chief Minister said the latest decision forms part of a much larger crop-loan waiver programme.
The state government is providing a total crop-loan waiver of around ₹6,220 crore, which is expected to benefit approximately 13.34 lakh farmers across Tamil Nadu.
Vijay: ‘Farmers’ Welfare Is Our Welfare’
Explaining the government’s decision, Chief Minister Vijay said:“Nevertheless, keeping in mind that the welfare of the farmers of Tamil Nadu is our welfare, this government is providing a total crop-loan waiver of approximately Rs 6,220 crore to 13.34 lakh farmers.”
The announcement is aimed at reducing the repayment burden on farmers and providing additional financial support to those struggling with crop loans.
How the Crop Loan Waiver Works
The announced structure can be understood simply:
- Loan up to ₹75,000: 100% waiver
- Loan between ₹75,000 and ₹1 lakh: Waiver up to ₹75,000
- Loan above ₹1 lakh: Waiver up to ₹35,000
- Farmers receiving additional relief: 2,38,264
- Additional government expenditure: Approximately ₹953.06 crore
- Total crop-loan waiver: Approximately ₹6,220 crore
- Total farmers covered: Around 13.34 lakh
The government said the measure is intended to provide immediate financial relief while supporting the economic well-being of farmers across the state.
