The World Bank Wednesday approved a loan of $485 million to Tamil Nadu to increase its agriculture productivity by modernising the state’s irrigation infrastructure.
The project will place special focus on modernisation of Tanks (traditional water bodies that are integrated into the state’s irrigation systems) supported by the central government.
“Improved performance in agriculture and related areas can be the key to unlocking the tremendous potential of Tamil Nadu’s rural areas,” Fayez Omar, senior manager, India programme and acting World Bank country director for India, said in a statement.
“This project will help improve productivity of water in irrigated agriculture and promote diversification into higher-value, less-water intensive crops,” Omar added.
The project aims to strengthen the institutional framework and tools for sustainable water resources management.
Some of the benefits from the project include increased area and reliability of irrigation, increase in production, productivity, and profitability of food grains, oilseeds, pulses, fruits, vegetables, sugarcane, green fodder, milk and fish in inland water bodies, the statement said.
Farm incomes are expected to rise in project area households, and it is estimated that about 50,000 rural farm jobs will be created.
“Creation of employment opportunities in on and off farm activities would further reduce rural poverty,” said Srinivasan Raj Rajagopal, World Bank lead water resources specialist and project task team leader.
“It is time for irrigated agriculture and water resources management to catch up with other modernisation efforts in the state and the project would assist in this process in an innovative manner,” Rajagopal added.
