Rs. 5000 crore allocated for increasing warehousing capacity

The Finance Minister Shri Arun Jaitley while presenting his maiden Budget in Lok Sabha here today said that increasing warehousing capacity for increasing the shelf life of agriculture produces and thereby the earning capacity of the farmers is of utmost importance. Keeping in the view the urgent need for availability of scientific warehousing infrastructure in the country, the Finance Minister proposed an allocation of Rs 5,000 crore for the fund for the year 2014-15 the Finance Minister added.

The share of long term investment credit in agriculture is going down as compared to short term crop loan. This is severely hampering the asset creation in agriculture and allied activities. In order to give a boost to long term investment credit in agriculture, the Finance Minister proposed to set up "Long Term Rural Credit Fund" in NABARD for the purpose of providing refinance support to Cooperative Banks and Regional Rural Banks with an initial corpus of Rs 5,000 crore.

Source : Press Information Bureau

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