The cricketer-turned-politician Navjot Singh Sidhu on Wednesday claimed that the private crop insurance companies have replaced the government insurance companies and are indulged in looting farmers with high premiums and negligible payments for crop failure.
Former Minister and Congress MLA Sidhu, taking to the micro-blogging website – Twitter, said: “Farmers know well that the Central Government backed Corporate take-over of Indian Agriculture is growing rapidly, Crop Insurance Companies have replaced Government Insurance...Looting Farmers and State exchequer with high premiums and negligible payments for Crop Failure. #IndiaWithFarmers.”
Sidhu also attached a video message in his tweet, wherein he alleged that the farmers are being cheated by private crop insurance companies that have replaced the government insurance companies.
“There was a crop insurance scheme of Rs 31,000 crore, but farmers got only Rs 15,000 crore and Rs 16,000 crore went to the pockets of Birlas, Tatas, and Ambanis. Earlier, the State Governments and the Central Government used to provide crop insurance on nominal rates through Life Insurance Corporation (LIC) and other companies. Later, private companies came in this sector,” he said.
Sidhu added that the premium has increased by 350 percent, but the “farmers got only 0.42 percent. Think about it!”
“About 2.80 lakh farmers are engaged in soy cultivation. If the entire crop fails, the premier is of Rs 173 crore but farmers get only Rs 30 crore. Private companies get a net profit of Rs 143 crore. Farmers do hard work. Reliance enjoys the fruits of hard work,” he added.