Consumers stare at vegetable crisis

Telangana is staring at a severe vegetable crisis in summer because faceless finance bureaucrats have not released `36 crore subsidy that the government owes seed companies.

The firms have stopped the sale of subsidised vegetable seeds to farmers.

Farmers are not in a position to purchase seeds at market rates and have simply stopped sowing vegetable crops. The state government has offered to pay 50 per cent subsidy on the purchase of seeds to help farmers minimise their investments after crops failed due to consecutive droughts for two years.

Based on this, companies sold seeds to farmers at half the market price during the kharif and rabi seasons. The bill: `36 crore. The agriculture department had requested the finance department several times to release the money, but in vain. Agriculture minister Pocharam Srinivas Reddy said, “We are negotiating with seed firms to restore supply of subsidised seeds. There were some technical issues involved in payment of arrears, which have now been sorted out. The finance department has agreed to clear the arrears soon.”

The finance department gave administrative sanction to pay `13.55 crore last month, but no money was actually released so far.

“We sold subsidised seeds during kharif and rabi last year, but have not been paid by the state. How can we supply subsidised seeds again in summer without getting arrears,” said Mr B. Madhu, representative of Seeds Dealers Association.