In a bid to ensure a smooth sowing season, the government on Thursday allowed farmers to withdraw up to Rs 25,000 per week from their designated bank accounts and a similar additional amount credited to their bank towards produce they sell to state agencies.
This apart, traders who are registered with the Agricultural Produce Marketing Committees can withdraw up to Rs 50,000 per week for a smooth procurement process, Economic Affairs Secretary Shaktikanta Das said.
“Agriculture is an important component. We are at the commencement of the Rabi season. We want to ensure farmers get smooth supply of fertilizers and other items,” Das said.
While concessions have been made for families that have an upcoming wedding, the amount of money that an individual can exchange by handing over the old Rs 500 and Rs 1,000 notes in banks has been lowered to Rs 2,000 from Friday, the official said.
He said a member of the family that has an upcoming wedding can withdraw up to Rs 250,000 subject to one of the members furnishing the PAN card details and also providing an undertaking that no other member will withdraw such an amount for that purpose.
Two other decisions taken on Thursday are: A 15-day extension in the payment of crop insurance and an allowance for withdrawing Rs 10,000 as advance for central government employees up to Group ‘C’ to be adjusted against their November salary.