Financial assistance to farmers by way of immediate relief in the event of disaster is provided as per the norms of assistance in the Ministry of Home Affairs guidelines on revised items and norms of assistance under SDRF/NDRF dated 8th April, 2015. The revised norms of assistance for loss of crops was enhanced from Rs.4500/- per hectare to Rs.6800/- per hectare under rainfed conditions, from Rs.9000/- to Rs.13500/- per hectare under irrigated condition and from Rs.12000/- to Rs.18000/- per hectare for perennial crops. In addition farmers having suffered 33% loss to crops are now entitled to receive financial assistance in place of a minimum threshold of crop loss of 50% which obtained earlier.
Assistance under SDRF/NDRF provided is for immediate relief and not by way of compensation for the loss suffered. The main objective of the relief fund is to provide immediate assistance to farmers affected by the calamities.
The State Governments are to take utmost care and ensure that all individual beneficiary-oriented assistance from SDRF/NDRF is necessarily/mandatorily disbursed through the bank account (viz; Jan Dhan Yojana etc.) of the beneficiary.
The Govt. of India is assisting the State Govts. and seed producing agencies for seed related activities through various ongoing schemes/programmes of the Department including National Food Security Mission (NFSM), National Mission on Oilseeds and Oil Palm (NMOOP), Mission on Integrated Development of Horticulture (MIDH), Rashtriya Krishi Vikas Yojana (RKVY), Sub-Mission on Seeds & Planting Material (SMSP) under National Mission on Agricultural Extension & Technology (NMAET).
Reserve Bank of India (RBI) has issued Standing Guidelines for Relief Measures to be provided by respective lending institutions in areas affected by natural calamities which, inter alia, include identification of beneficiaries, extending fresh loans and restructuring of existing loans, relaxed security and margin norms, moratorium etc. The moment calamity is declared by the concerned District Authorities, these Guidelines have been so designed that they are automatically set in motion without any intervention and this saves precious time.
RBI has allowed State Level Bankers’ Committee/ District Level Consultative Committees/ Banks to take view on rescheduling of loans if the crop loss is 33% or more. Banks have been advised to allow maximum period of repayment of upto 2 years (including the moratorium period of 1 year) if the crop loss is between 33% and 50%. If the crop loss is 50% or more, the restructured period for repayment is extended to a maximum of 5 years (including the moratorium period of 1 year). The Banks have further been advised that all short-term loans eligible for restructuring are converted into term loan. In all cases of restructuring, moratorium period of at least one year is granted. The existing term loan installments are rescheduled.