BJP’s decision to reintroduce the Rs.500 and Rs,1000 notes in India has left the country’s farmers deeply disappointed.
A survey conducted by the Farmers Federation of India (FFI) shows that farmers’ sentiments are not as positive as they were in the past.
In the last two years, farmers in the country have spent about Rs.2.4 lakh crore in cash.
The cash shortage has forced many farmers to seek loans from private banks to buy seeds and fertiliser.
Farmers are being asked to pay more money for fertiliser and seed.
But the Government has said that the new notes will not affect the farming sector and will be the last of the old notes in circulation.
The Government is also insisting that the introduction of the new currency will be a boon for the agriculture sector.
While farmers are angry over the decision, many also feel that the government’s move is in the interest of the economy.
India’s farmers have been suffering from severe cash crunch for a long time, and now the government is making it worse by introducing the new Rs.1000 and Rs500 notes, they say.
Farmers’ anger at the reintroduction of the Rs 500 and 1000 notes is partly based on the fact that the RBI did not provide any monetary relief to farmers when the old ones were introduced.
According to the farmers federation, the cash crunch in India was worse in the period between 2007 and 2015 than it is now.
They believe that the change in the currency will help farmers and make it easier to purchase fertiliser for farmers and seeds.
FFI president M. K. Ghosh said, “The introduction of Rs.2000 notes in the last one year has caused farmers and the economy to grow at a fast pace.
The farmers have also been facing severe cash shortage for a number of years now.
This is in spite of the fact the Government of India has made the new money available to farmers, who have been given ample time to purchase seed and fertilisers.
It has also ensured that the Government’s own figures are accurate.”
According the Farmers Union, the number of farmers in India is now at about 14.5 million and its estimated that by 2021, the total farmers’ population will be around 28 million.
The government is yet to announce any decision on the reintroducing of the notes.
With the introduction in March, the government announced that it will allow the circulation of 500 and 1,000 rupee notes in denominations of 10, 50, 100 and 200 rupee.
At present, a 100 rupee note can be exchanged for five rupees.