Prime Minister of India - Dr. Manmohan Singh

Prime Minister's statement to media in Hyderabad

"I come to Andhra Pradesh with mixed feelings. I am happy to visit a State where my Party has been voted back to power with the whole-hearted support of the people of this State. However, I am distressed that the reason for my visit is the crisis faced by farmers in Andhra Pradesh.

I have visited Mahabubnagar and Kurnool districts and have seen for myself the distress of farmers and fully sympathise with their families. I have been briefed by the State Government and by the MLAs and MPs from the State. I am aware of the situation on the ground as well as of the major steps taken by the Chief Minister, Dr. Rajasekhara Reddy and his Government.

It gives me some satisfaction to be able to announce today that our Government will strengthen the hands of the State Government in providing relief to the farmers.

We have agreed to provide immediate cash relief to start Food-For-Work Programme, to provide employment in the affected villages. We are making available1.82 lakh tons foodgrains in addition to the six lakh tons made available earlier. Orders have been issued for release of Rs.60 crore from the Calamity Relief Fund.

Under the scheme announced by the Union Finance Minister for doubling credit flow to rural areas, the Government of Andhra Pradesh will take up programmes to benefit the farmers of the State.

We have instructed the Andhra Bank to coordinate with four other banks (State Bank of Hyderabad, State Bank of India, Indian Bank and Syndicate Bank) to visit all families which have lost their breadwinner due to suicide. With the help of the State Government, these banks will extend support to them for economic activities for ensuring steady income. This will be done within the next 30 days. This will be monitored by the State Government as well as my office.

I have requested the Chief Minister to consider a system of issuing entitlement cards that will be given to all these families for their basic needs. This is to monitor regular availability of food through public distribution system, nutrition, safe drinking water, health cover and employment.

One of the factors that has caused distress to farmers is the menace of low quality and spurious seeds. The Government of India will bring forward a new Seed Act to regulate and standardize the quality of seeds as well as provide for a strict mechanism for penalties for violation of norms.

In this context, I am also initiating other steps such as simplifying the drought assistance procedure and programme for watershed management.

Finally, some of these measures are our immediate response while some are part of a long-term strategy to revitalise the farm sector. Our intention is to increase rural incomes and employment and improve the quality of life in the villages. These will be the focus areas of our Government."