Centre permits Gujarat to continue the old Crop Insurance scheme

Gandhinagar, 27 June, 2014

The Government of India has granted permission to continue the old scheme of crop insurance for further one year.

Department of Agriculture, Government of Gujarat has informed Gujarat government through 26 June 2014 letter that the Government of India has extended the old crop insurance scheme for one year. The farmers of Gujarat will have to pay 1.3 to 1.5% premium to give protection cover to their crops.

Just before its departure and implementation of the model code of conduct the Congress-led UPA government in centre had introduced a new crop insurance scheme which was made mandatory for states. However the Government of Gujarat led by then Chief Minister Narendra Modi had clearly stated that the new scheme was acceptable.

When Anandiben Patel became Chief Minister of Gujarat she met various union ministers and Prime Minister Narendra Modi in Delhi and made representation on this issue. Senior ministers Nitin Patel, Babu Bokhiria, officers of Gujarat government had also made representation on this issue and held meetings in Delhi.

According to Gujarat government’s spokesperson ministers the insurance scheme introduced by former government had anti-farmers provisions.

Reference from archive: Gujarat govt/BJP oppose new crop insurance scheme
Gujarat ministers ask GoI to reconsider UPA’s National Crop Insurance Programme