Revolution in South Asia

An Internationalist Info Project

Kishenji: Farmers in Lalgarh Region Don’t Have to Repay Crop Loans

Posted by Ka Frank on December 19, 2009

Hindustan Times, December 17, 2009

Maoists announce ‘loan waiver’ for farmers

Farmers in West Midnapore district of West Bengal may not have to repay their crop loans. The Maoists have announced a waiver. This is the first time the rebel group has announced such a decision.

“Several peasants who took crop loans over the last two years have suffered losses. So, we have decided that they don’t have to pay back their loans,” said Koteshwar Rao, alias Kishenji, member of the banned Communist Party of India (Maoist). “Moreover, no agricultural cooperative, bank or private money lender will be allowed to charge more than two per cent interest on loans they advance to peasants this year,” he added.

Cooperative and public sector banks usually charge 7 per cent interest on agri loans. Private moneylenders charge much more – between 3 per cent and 5 per cent a  month. “If anybody, be it from public sector banks or private moneylender tries to squeeze money out of the farmers, he will be branded a people’s enemy and tried in a people’s court,” Kishenji threatened. These “courts” usually hand out the death penalty to those who defy their writ.

“We will look into the matter and take action if anybody lodges a complaint,” said Manoj Verma, superintendent of police, West Midnapore.

State Bank of India, United Bank, Allahabad Bank, UCO Bank and a few co-operative banks have branches in this district. No bank executive was willing to speak on the issue. They were also unwilling to share data of total loans or farmers who may be impacted.  “More than 50 per cent of all loans in the district are advanced by private moneylenders,” several of them said on condition of anonymity.

Maoists wield considerable influence in 180 of India’s 626 districts, where they have killed more than 300 security personnel this year.

Kishenji claimed that farmers have suffered losses and that “no one is in a position to repay the loans. Since the government did nothing, it was left to us to give relief”.

In a related article, Kishenji announces that the CPI (Maoist) is expanding its organizing of farmers into South Bengal.

Times of India, December 18, 2009

Maoists trying to cash in on potato farming crisis

KOLKATA: With security forces zeroing in on the Maoist core area in Jangalmahal comprising parts of West Midnapore, Bankura and Purulia, the ultras are busy spreading their network in neighbouring Hoogly and other parts of West Midnapore.

Lalgarh is in West Midnapore district of West Bengal

The target is to organise wage labourers and marginal farmers working in potato fields, whose lot did not improve despite spiralling potato prices. At a time when everyone is blaming the market or the futures trading, Maoists are reaching out to the deprived with an immediate solution, the people’s court. Maoist activists are promising that they will drag the middlemen to the people’s court, impose huge fines on the offenders and help the marginal farmers.

Small farmers could not get the best of a good harvest last year. They sold their produce at a much lower price to the middlemen as the crop was badly hit by wart disease.

“We have contacted the farmers in the potato producing areas of South Bengal and told them that CPI (Maoist) will extend their support to them,” said Maoist leader Kishanji, who has been controlling the Maoist insurgency in Lalgarh.

The Maoist leader has also announced drawn up a charter of demands for rehabilitation of the poor farmers. “The government has to waive all agricultural  loans that farmers took last year. At the same time the state has to arrange for interest-free loans,” said Kishanji, who also supports other demands of the farmers subsidized rate of fertiliser and potato seeds.

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