West Bengal announces Re1 subsidy on diesel

Bowing to farmer lobby pressure, the West Bengal government yesterday announced a subsidy on diesel and power used for agricultural purpose.

The farmers' wing of the CPM, the Krishak Sabha, had demanded that the finance minister, Asim Dasgupta, introduce subsidy on diesel.

The Re1 diesel subsidy will cost the state exchequer Rs30 crore annually and the power subsidy of 5 paisa per unit is for off-peak use between 10 pm and 5 pm.

The agriculture department officials say the move would provide relief to farmers in the eight rain-deficit districts in South Bengal including Hooghly, North 24 Parganas, South 24 Parganas, Purulia, Bankura, Birbhum and West Midnapore. These districts already suffer a 31 per cent rainfall deficit.

Yesterday, Dasgupta discussed the situation in a meeting with agriculture minister Naren De and disaster management minister Mortaza Hussein. In view of the rain deficit, the state is likely to announce the eight districts as drought-prone after 15 August according to Dasgupta.

According to officials of the agriculture department, kharif crop is sown till 15August in the state and if sowing does not happen in 50 per cent arable land, the district is officially declared as drought-prone. Meanwhile, the department is keeping a tab on the progress of sowing and a decision in this regard would only be taken after the second week of August.