SANGSAD BHABAN, June 6, 2024 (BSS) -  The government has allocated Taka 17,000 crore as subsidy for the agriculture sector in the proposed budget for 2024-25 fiscal.

Finance Minister Abul Hassan Mahmood Ali today informed the parliament about the allocation while placing  the proposed national budget for the upcoming fiscal titled 
“March Towards Smart Bangladesh Following the Path of Sustainable Development”, .

“Allocation of Taka 17,000 crore has been proposed as subsidy to meet the expenditure of fertilizer and other agricultural incentives”, according to the  budget text.

Although the outlay of subsidy in the proposed budget  has not been changed compare to the past fiscal.  But it was rose to Taka 25,000 crore in the revised budget of 2023-24 fiscal.

“We are providing subsidies to encourage agricultural production which will remain in place in the near future. In addition to providing subsidies for fertilizers, mechanization is being promoted to increase agricultural production.

 From 2010 to 2023, about 1.33 lakh agricultural machineries of various types have been supplied.

 Additionally, under the development assistance, the process of supplying 51.3 thousand agricultural machineries to haor and coastal areas is underway”, said the minister  in his budget speech.

To keep the farmers' production costs at the minimum, support for fertilizers, electricity used in irrigation, and development assistance (subsidy) for sugarcane cultivation have been consistently provided.

From 2009 to 2023, approximately an amount of Tk. 1.29 lakh crore has been allocated as development assistance. 

Furthermore, since the FY 2009-10, our government has been implementing the 'agricultural loan for marginalised farmers' scheme through Bangladesh Bank to provide timely collateral-free, low-interest agricultural loans to the disadvantaged farming community.

The minister said the government is ensuring supply of required loans for agricultural production.

 In the FY2022-23, within the scope of the agriculture and rural development programmes, approximately 27 lakh small and marginal farmers were provided loans from various banks which amounted to Taka. 22,402 crore. 

Besides, in FY2023-24, a target of Taka 35 thousand crore has been set for the distribution of agricultural and rural loans, said Ali.