Farmers can now use old Rs 500 notes to buy seeds
The move of allowing farmers to buy seeds using old Rs 500 notes will help maintain the production cycle which could otherwise lead to scarcity of food articles.
- Nov 21, 2016,
- Updated Nov 21, 2016 4:55 PM IST
The Indian government has allowed farmers to purchase seeds with old 500 rupee banknote from state-run outlets, the finance ministry said in a statement on Monday.Prime Minister Narendra Modi's shock move to cancel 500 and 1,000 rupee bills as legal tender has left millions of farmers with little cash to buy seeds and fertilisers for winter crops, threatening production of key commodities and hurting rural communities only just recovering after two years of drought. Modi demonetised the Rs 500 and Rs 1000 notes in an attempt to crack down the black money plaguing the Indian ecomomy.
While the move was highly appreciated by many, the situation started to deteriorate as the banks reopened one day after the announcement. Farmers were among the worst affected. After two years of drought this was the year when they were expecting heavy yields.
The move of allowing farmers to buy seeds using old Rs 500 notes will help maintain the production cycle which could otherwise lead to scarcity of food articles.With inputs from Reuters.
The Indian government has allowed farmers to purchase seeds with old 500 rupee banknote from state-run outlets, the finance ministry said in a statement on Monday.Prime Minister Narendra Modi's shock move to cancel 500 and 1,000 rupee bills as legal tender has left millions of farmers with little cash to buy seeds and fertilisers for winter crops, threatening production of key commodities and hurting rural communities only just recovering after two years of drought. Modi demonetised the Rs 500 and Rs 1000 notes in an attempt to crack down the black money plaguing the Indian ecomomy.
While the move was highly appreciated by many, the situation started to deteriorate as the banks reopened one day after the announcement. Farmers were among the worst affected. After two years of drought this was the year when they were expecting heavy yields.
The move of allowing farmers to buy seeds using old Rs 500 notes will help maintain the production cycle which could otherwise lead to scarcity of food articles.With inputs from Reuters.