BUDGET 2013: Govt. provides concessions for farmers
November 8, 2012 01:45 pm
President Mahinda Rajapaksa proposed a short while ago in his budget speech for the year 2013 that interest on loans taken by farmers who were affected by the recent drought be completely removed.
It was proposed that drought-hit farmers will also be able to hold off loan payments till their next harvest.
The minimum guaranteed price for a kilogramme of paddy will be increased to Rs.32-35.
Carbonic Fertilizer producers will be given a certified price of Rs.450 for a 50Kg pack of fertilizer. Direct and indirect taxes for carbonic fertilizer transportation will also completely be abolished.
Furthermore, the President proposed that 1% of bank profit and Rs.150 per 50kg of subsidized fertilizer should be given to the National Insurance Trust Fund for a new crop insurance scheme.
A further Rs.1000 million will be allocated for aiding the farmers who were affected by the drought.
A mandatory insurance policy will be introduced for farmers in the country.
