In a development that will ease the pressure on the embattled state government, the Centre on Tuesday assured the state government that it will release Rs 400 crore for the rain-hit farmers in the state from National Contingency Fund.
The Centre’s assurance came after Union Urban Development Minister S Jaipal Reddy brought the rain-hit farmers issue to the notice of Prime Minister Manmohan Singh and sought his intervention.
Talking to media persons, Mr Jaipal Reddy said the Prime Minister has responded favourably to the farmers’ woes and agreed to release Rs 400 crore from National Contingency Fund for the rain-hit ryots.
The Prime Minister assured to extend full support to those farmers, who lost their food and commercial crops in the cyclones, Mr Jaipal Reddy stated.
He also revealed that the Prime Minister has assured to direct the Food Corporation of India to procure rain-soaked paddy from the affected farmers giving Minimum Support Price for the crop.
The Prime Minister will also direct the Cotton Corporation of India to purchase damaged cotton from the cotton growers, Mr Jaipal Reddy revealed.
The state government is reeling under a twin attack by former chief minister N Chandrababu Naidu and former Kadapa MP YS Jaganmohan Reddy, who have gone on hunger strikes to press for adequate relief packages for the rain hit farmers.