ISLAMABAD, Aug 17: The National Assembly standing committee on Food and Agriculture has suggested that the Zarai Taraqiati Bank Limited (ZTBL) should grant interest-free loans for 5 years to the farmers in the flood affected areas.
Addressing the committee Federal Minister for Food and Agriculture, Nazar Muhammad Gondal, said the ministry has supported the idea and it would be presented to the cabinet for approval.
The proposal was made by Sardar Bahadur Khan Sihar in the committee meeting held here on Tuesday.
Mr Khan also proposed that all input loans should be waived as these are insured and farmers pay premium on them. The minister also supported the idea.
The committee decided to obtain complete data of input loans so that the case for waiver of these loans could be proceeded.
Mr Khan brought it to the attention of the committee that the World Bank quite recently agreed to release $900 million loans on soft terms for rehabilitation of the agriculture sector.
He suggested that the government should direct the ZTBL to provide loans to the growers in the flood affected areas at the same rate of interest, which is by and large less than one per cent.
Another participant Rana Tanveer said that ZTBL was established for the growth of agriculture sector but with the passage of time it has become a commercial bank.
He accused the president of ZTBL of making the bank a private enterprise because in his little native town there are two model villages of ZTBL, while huge areas in the country are deprived of the same.
Mr Tanveer said that the government must take action in this regard and the alleged favouritism in ZTBL must be stopped.
Mr Khanzada proposed that a fresh feasibility survey should be conducted for construction of alternate branches or canal after the breach of Kacchi Canal during recent floods.
Sardar Bahadur said that for the recovery of the livestock sector all the dairy development funds should be diverted to the flood affected areas because the sector also suffered colossal losses in the floods.
The committee recommended that solid and concrete measures must be taken for rehabilitation of the affected areas and the members warned that the country could face a serious food shortage situation if timely and wise decisions were not made.