State - October 5, 2025

The Central Government Will Provide Substantial Aid to Flood-Affected Farmers – Union Cooperation Minister Amit Shah

team maverick October 5, 2025

0 14 min read

Union Minister Shah Inaugurates Renovation of Padma Shri Dr. Vitthalrao Vikhe Patil Cooperative Sugar Factory

Shirdi, Oct 2025 : Due to heavy rainfall and floods, agriculture in Maharashtra has suffered extensive damage. As soon as the Government of Maharashtra submits a detailed report on the losses, the Central Government will immediately announce substantial financial assistance for the affected farmers, assured Union Home and Cooperation Minister Amit Shah.

He was speaking at the event held in Loni, where the statues of Padma Shri Dr. Vitthalrao Vikhe Patil and Padma Bhushan Dr. Balasaheb Vitthalrao Vikhe Patil were unveiled, along with the inauguration of the renovated Padma Shri Dr. Vitthalrao Vikhe Patil Cooperative Sugar Factory.

The event was attended by Chief Minister Devendra Fadnavis, Deputy Chief Ministers Eknath Shinde and Ajit Pawar, Minister of State for Cooperation Murlidhar Mohol, Revenue Minister Chandrashekhar Bawankule, Water Resources Minister and Guardian Minister Radhakrishna Vikhe Patil, Water Resources Minister Girish Mahajan, Environment Minister Pankaja Munde, Cooperation Minister Babasaheb Patil, and Rural Development Minister Jaykumar Gore, among others.

Union Minister Shah said that for the financial year 2025–26, the Central Government has sanctioned ₹3,132 crore in aid, of which ₹1,631 crore was disbursed in April. Maharashtra has been allocated a special assistance package of ₹215 crore. He also mentioned that several decisions have been taken, such as temporary relief on loan recovery and concessions for students in examinations.

He praised Padma Shri Dr. Vitthalrao Vikhe Patil and Padma Bhushan Dr. Balasaheb Vikhe Patil for their remarkable contribution to the cooperative movement, rural development, and farmers’ welfare, noting that Maharashtra’s cooperative sector stands on the foundation they built. Dr. Vitthalrao Vikhe Patil, along with Dhananjayrao Gadgil and Vaikunthbhai Mehta, laid the groundwork for the cooperative movement and established India’s first cooperative sugar factory, ushering in the economic empowerment of farmers. “The money that once went into traders’ pockets started reaching farmers’ accounts,” Shah said.

Recalling Dr. Balasaheb Vikhe Patil’s tenure as Minister of State for Finance in Atal Bihari Vajpayee’s government, Shah said he was instrumental in securing a crucial revival package for cooperative banks in Gujarat through the Reserve Bank of India.

He further noted that the Dr. Vitthalrao Vikhe Patil Cooperative Sugar Factory, which began operations in 1951 with a crushing capacity of 50 tons, now operates at 7,200 tons per day, and its capacity will soon be increased to 15,000 tons per day. The distillery, established in 1970, has grown from 15 KLPD to 90 KLPD, with approval for expansion to 240 KLPD. The biogas plant’s capacity has also been increased from 12,000 cubic meters to 30,000 cubic meters, and the co-generation plant now produces 8 MW of power.

He added that the Central Government has waived over ₹10,000 crore in income tax for farmers, eliminating an annual ₹100 crore tax burden on cooperative sugar mills. The GST on molasses used in sugar production has been reduced from 28% to 5%, and rates on 395 items have also been lowered.

Minister Shah urged cooperative sugar mills to establish multi-feed ethanol projects capable of producing ethanol from maize and rice, assuring that the Central Government would provide loans for such projects and give priority to cooperative institutions in ethanol procurement.

Appealing for self-reliance, he said, “This Diwali, let us all pledge not to bring any foreign-made items into our homes. If India’s 140 crore citizens and traders wholeheartedly embrace ‘Make in India’, the country will become the world’s leading economy by 2047.”

CM Devendra Fadnavis: Interlinking Rivers to Eliminate Drought in Maharashtra

Chief Minister Devendra Fadnavis said that Padma Shri Dr. Vitthalrao Vikhe Patil pioneered the cooperative movement in Maharashtra, while Padma Bhushan Dr. Balasaheb Vikhe Patil created awareness on water management. Unveiling their full-sized statues, he said, symbolizes “Padma Smaran” (a tribute to their legacy).

The Pravaranagar Cooperative Sugar Factory, Asia’s first of its kind, has now reached a capacity of 10,000 TPD, which the Chief Minister described as a “matter of great pride.” He said Maharashtra has become the heartland of cooperation, crediting pioneers like Dr. Vikhe Patil, Dhananjayrao Gadgil, and Vaikunthbhai Mehta for their foundational work. Wherever the cooperative movement spread, farmers prospered and industrial growth followed.

Fadnavis added that Dr. Balasaheb Vikhe Patil’s dream of water conservation is being realized through the river-linking project, which will help make Maharashtra drought-free. Projects are underway to divert water from west-flowing rivers to drought-prone Marathwada, including bringing 54 TMC of water from the Ulhas Basin to the Godavari Basin. “Within the next five to seven years, the drought in Nashik, Ahmednagar, and Marathwada will be history,” he assured.

He praised Prime Minister Narendra Modi for establishing a separate Ministry of Cooperation, assigning Amit Shah as its first minister, and strengthening Maharashtra’s cooperative sector with ₹8,000–₹10,000 crore in support. The Chief Minister reaffirmed the government’s commitment to stand by farmers, stating that a comprehensive plan to aid flood-affected farmers is being finalized with Central assistance.

DCM Eknath Shinde: Loni–Pravaranagar a Model for Rural Development

Deputy Chief Minister Eknath Shinde said that the Loni–Pravaranagar region has given the country not just Maharashtra’s cooperative legacy but a model for rural development. “This land showed that when farmers unite, they can bring about a revolution,” he said.

He recalled that Dr. Vitthalrao Vikhe Patil established India’s first cooperative sugar factory here, ensuring fair prices for farmers’ produce and dedicating his life to their upliftment — a legacy carried forward by Dr. Balasaheb Vikhe Patil, who expanded the vision through Pravara Medical College, Pravara Cooperative Bank, and other educational and agricultural initiatives. “Today, Loni–Pravaranagar stands as a model for rural transformation,” he added.

Shinde said that under Amit Shah’s leadership, the cooperative sector is advancing rapidly with a blend of tradition and modern technology. Transparency in the sugar industry and a focus on ethanol production are ensuring that benefits reach farmers directly. He assured that the Central Government will extend full support to flood-hit farmers.

DCM Ajit Pawar: A Defining Moment in the Journey of Cooperation

Deputy Chief Minister Ajit Pawar said that Dr. Vitthalrao Vikhe Patil established Asia’s first cooperative sugar factory in Pravaranagar, giving direction to India’s cooperative sugar sector and strengthening Maharashtra’s economy. He added that Amit Shah’s historic decision to abolish income tax for sugar factories as India’s first Cooperation Minister was a landmark step.

Calling the unveiling of the statues of Dr. Vitthalrao Vikhe Patil and Dr. Balasaheb Vikhe Patil by Amit Shah a “golden moment” in the history of cooperation, Pawar said it marks a new chapter in the sector’s century-long journey.

He noted that cooperation brought prosperity to rural homes, enabled education, and empowered farmers. “When the cooperative movement faced challenges, the Centre implemented the concept of ‘Prosperity through Cooperation’,” Pawar said, adding that the reduction of GST on molasses from 28% to 5% and establishment of new cooperative institutions have rejuvenated the sector. He assured that damage assessment (panchanama) for affected farmers will be completed soon and significant aid will be provided.

In his welcome address, Guardian Minister Radhakrishna Vikhe Patil said that the day would be remembered in golden letters, as Amit Shah visited Pravaranagar for the second time as Cooperation Minister. He praised the Central Government’s efforts to guide the cooperative movement and reiterated that the state government is committed to making Maharashtra drought-free through interlinking of rivers.

On behalf of the Pravara Industrial Group, a cheque of ₹1 crore was handed over to Chief Minister Devendra Fadnavis for the Chief Minister’s Relief Fund to aid flood-affected citizens.

The event was also attended by MLAs Ravindra Chavan, Shivajirao Kardile, Monika Rajale, Amol Khatal, Ashutosh Kale, Kiran Lahamate, Vikram Pachpute, Vitthalrao Langhe, Kashinath Date, Chancellor of Pravara Deemed University Dr. Rajendra Vikhe Patil, former Minister Annasaheb Mhaske Patil, and former MP Dr. Sujay Vikhe Patil, among others.