Andhra Pradesh: The Andhra Pradesh government has announced a financial aid initiative aimed at supporting tenant farmers. To shield farmers from the heavy interest charged by private moneylenders, the state will offer low-interest loans through Primary Agricultural Cooperative Societies (PACS). This program is designed to provide farmers with investment security and help them alleviate existing debt burdens.

Tenant farmers in Andhra Pradesh have been facing financial challenges due to high-interest borrowings. Recognizing this issue, the government plans to extend loans of up to Rs 1 lakh to eligible farmers. These funds can be utilized for various agricultural needs, including seeds, fertilizers, and labor costs.

Low-Interest Loan Policy

Under this scheme, farmers will receive loans via PACS, enabling them to reduce reliance on private lenders. Currently, the state is in the process of collecting details of tenant farmers, and the approval and disbursement of loans will begin shortly.

Eligibility Criteria

1. Farmers must possess lease agreements issued by the relevant authorities.
2. Applicants should be residents and members of the respective cooperative society.
3. The loan recipient must cultivate at least one acre of the land mentioned in the lease deed.
4. Only farmers actively cultivating crops on leased land are eligible.
5. Preference will be given to those who own a house.
6. Both the principal and interest must be repaid within one year of loan disbursement.

Experts believe that by improving the financial stability of tenant farmers, this scheme will provide a significant boost to the agricultural sector in the state. With better access to funds, farmers can invest confidently and plan their crops effectively. The government is expected to soon announce the official start date of the loan program and provide detailed implementation guidelines.