Lok Sabha Question No. 3617 (UNSTARRED), answered on 2021-03-17
Subject: Plantation Crops
Ministry: COMMERCE AND INDUSTRY
Asked by: Dean Kuriakose

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY (DEPARTMENT OF COMMERCE)

## LOK SABHA UNSTARRED QUESTION NO. 3617 TO BE ANSWERED ON 17 th MARCH, 2021

## PLANTATION CROPS

## 3617.  ADV. DEAN KURIAKOSE :

Will the Minister of COMMERCE & INDUSTRY ( वािण�य एवं उ�ोग मं�ी ) be pleased to state:

- (a) whether  the  Government  is  aware  that  many  plantation  crops  like  rubber,  tea, coffee, spices etc. are currently passing through an unusually difficult phase, with low prices combined with high cost of production;
- (b) if so, the details thereof;
- (c) whether the Government has received any proposal with regard to re-classifying of plantation crops as agriculture commodities from the ensuing census and if so, the details thereof;
- (d) whether the Government is aware that the farmers are heading towards a heavy debt trap and if so, the details thereof; and
- (e) the details of loan waiver given to the farmers of the country during the last three years?

## ANSWER

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THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (SHRI HARDEEP SINGH PURI)

(a) to (b) : Like other crops, the plantation crops  namely, rubber, tea, coffee and spices are sensitive to  fluctuation  in  the  cost  of  various  inputs  like  raw  materials,  wages  and  the  demand-supply scenario.  For  better  price  realization for  plantation  crops,  the  Government  has  taken  various initiatives  through  the  respective  commodity  boards,  by  way  of  providing  financial  and technical assistance to growers and the industry for new planting, re-plantation, rejuvenation, quality up-gradation, value addition and market promotion through the schemes implemented by the these Boards. During the  current  year  2020-21,  tea  auction  prices  have  shown an upward  revision  with  an increase of Rs.59.92 per kg (43.17%) from April 2020 to February 2021. Similarly, during recent months,  the  monthly  average  International  Coffee  Organization  composite  indicator  prices  are showing an upward trend from 109.70 US cents/lb in November 2020 to 119.35 US cents/lb during February, 2021. The average price of RSS 4 grade rubber is also showing an upward trend from Rs.115.73 per kg in May 2020 to Rs.156.04 per kg during February 2021. Spices prices are ruling at comparatively higher levels for most of the major spices. (c) : There is no proposal with regard to re-classifying plantation crops as agriculture commodities from the ensuing census. (d) to (e) : Government of India has not announced any farm loan waiver during the last three years. Government/Reserve Bank of India (RBI), have taken various policy measures to ease the financial stress caused by COVID 19 disruptions, by providing relief on debt servicing and improving access to working capital. RBI vide its circulars dated 17 th April 2020, have permitted all commercial banks to grant a moratorium till 31 st August 2020, on payment of all instalments in respect of term loans (including agricultural term loans, retail and crop loans). The repayment schedule for such loans, as also the residual tenor, have been allowed to be shifted across the board.

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