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This Article is From Nov 23, 2016

Farmers Fail To Buy Seeds As Cooperatives Await Official Order On Old Notes

Farmers have failed to buy seeds despite government order on sale of seeds with old Rs 500 notes.

Achrol: As soon as he heard that the government had allowed farmers to buy seeds with old Rs 500 notes, 55-year-old Ram Narayan Yadav rushed to the nearest government seed cooperative in his village Achrol, about 40 kilometres from Rajasthan's capital Jaipur.

With his fields ready for irrigation, Ram Narayan needs to purchase seeds to begin sowing. 

He has kept aside Rs 70,000 that he made by selling amla fruit two weeks ago and plans to invest that money in the rabi crop. However, he is unable to purchase seeds despite having the money. The November 8 government order banning old Rs 500 and 1,000 notes has hit farmers like him bang in the middle of the rabi season. 

"We are not taking 500 rupee notes," Sadhu Ram Yadav, a manager at the village farmers' cooperative, informs Ram Narayan.

While the government has allowed farmers to purchase seeds with old Rs 500 notes, cooperative banks are yet to begin the process. 

Officials at Gram Seva Sahkari Samiti or seed cooperative say they are yet to receive written instructions from the government allowing farmers to buy seeds with 500 rupee notes.

"I need a written order from either the registrar of cooperatives or the Sub-Divisional Officer," says the manager.

Sadhu Ram Yadav claims he understands the desperation of the farmers, but reiterates he cannot issue seeds until any official confirmation on the order.

"We understand the problem farmers are facing. In fact, this cooperative also works like a mini bank and farmers have accounts here, but we have no order to either accept Rs 500 notes or exchange them," he adds.

Farmers from nearly thousand villages depend on the Gram Seva Sahkari Samiti in Achrol to buy fertilizers, seeds and pesticides ahead of the sowing season.  

Farmers are also questioning the government for allowing selective relaxation for buying seeds, when the purchase of seeds and fertilizers goes hand-in-hand. 

Milk producers are also feeling neglected with the decision. Ram Narayan Yadav's neighbour, Badri Narayan, says he has not been able to get enough fodder for his eight buffaloes, resulting in a reduction in milk production.

"One buffalo used to give 10 kg of milk before. Now with the fodder being cut down, its giving only 6 kg milk. I don't have cash for fodder. We have never faced so much loss," says a desperate Badri Narayan.

Seed distribution at government outlets may also not solve the entire problem as only a small percentage of farmers buy their seeds there - most are dependent on the market.

The Rajasthan government has also acknowledged the crisis. Earlier this week, the state government wrote to the centre to allow farmers cooperatives to exchange old currency for new.

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