Vijay unveils full waiver of crop loans up to ₹75k to TN farmers

Tamil Nadu Chief Minister C Joseph Vijay unveiled a comprehensive waiver scheme for cooperative crop loans on Monday, covering loans up to ₹75,000 for the state's farmers. This move follows the government's May 25 announcement of a total waiver on crop loans up to ₹50,000 for small farmers. Speaking at the state assembly, Vijay revealed that the new waiver would cost the state exchequer ₹953.06 crore.

Under the latest scheme, loans up to ₹75,000 will be fully waived, while those between ₹75,000 and ₹1 lakh will receive a waiver of up to ₹75,000. Loans exceeding ₹1 lakh will be subject to a ₹35,000 waiver. The chief minister emphasized that a nation that respects agriculture and supports its farmers ensures the prosperity and happiness of its people.

Following farmers' associations' feedback, a June 19 order was issued to implement the scheme, waiving cooperative crop loans worth ₹5,932.23 crore to benefit 14.44 lakh farmers. The bank accounts of 1.33 million farmers received a total of ₹5,267 crore under this waiver on July 31. The waiver scheme differs from previous ones as the government remits the full amount to cooperative banks within 45-60 days, as per the Reserve Bank of India's guidelines.

The scheme aligns with the Tamilaga Vetri Kazhagam's election manifesto, which promised a complete waiver on cooperative crop loans for farmers owning up to 5 acres of land.