The government today announced relief measures for drought-hit areas of the country, including increase in the number of guaranteed work days under MGNREGA to 150 days from 100 days and reducing interest rates on rescheduled crop loans to 7 per cent for this fiscal.

Announcing these measures, Agriculture Minister Sharad Pawar said, the government expects fall in production of coarse cereals and pulses in Kharif season although the monsoon deficiency has now come down to 8 per cent.

Briefing media about the decisions taken by the empowered group of ministers (EGoM) on drought, Mr. Pawar said, four states of Karnataka, Gujarat, Maharashtra and Rajasthan have declared drought in more than 390 taluks. He said, the decision was taken in yesterday's GOM to provide additional 50 mandays in drought-affected areas.

Under MGNREGA scheme, the government assures 100 days of work every year to each household in rural areas. He also said, the Centre has provided Rs 33,000 crore to implement the scheme this fiscal, as against Rs 31,000 crore in 2011-12.

The Agricultural Minister said, it has also been decided to make available interest rate at 7 per cent on crop loans, which are rescheduled, instead of 12 per cent in drought-hit areas for this fiscal. He also said the Centre and state would also provide interest subvention to the tune of Rs 261 crore under a NABARD scheme to save horticulture crops in drought affected areas.

Mr Pawar said, the GoM on drought also decided to release funds under the National Rural Drinking Water Program to the tune of 286 crore rupees to Karnataka, 245.86 crore to Gujarat, 160.7 crore to Maharashtra, 115.7 crore to Haryana and 37.2 crore to Punjab.

Mr. Pawar added that, incentives have also been extended to farmers in drought hit areas under the Fodder Scheme for Cattle rearing and through Seed subsidy.