The Lok Satta Party (LSP) on Thursday demanded that the Andhra Pradesh government release its share of Rs. 268.42 crore immediately towards 2009 Kharif crop insurance payments to farmers.
The Government of India has released its share of the total Rs. 699.48 crore.
Party working president DVVS Varma pointed out that crop insurance would not serve its purpose if the Government could not ensure prompt compensation for crop losses.
The State Government's delay in submitting crop insurance claims to the Government of India, and in releasing its share of funds was unwarranted.
Varma suggested that crop insurance be not limited merely to bank loans, but also cover cultivation costs. Many farmers could not avail themselves of crop insurance because of the haphazard manner in which banks sanctioned loans.