How to Disburse Agricultural Subsidies
There are several ways in which agricultural subsidies can be disbursed. In today’s article, we will be highlighting 3 of those ways in which agricultural subsidies can be disbursed. We will be trying to understand what each of these subsidy disbursement methods entails. Without any further ado, some of the ways in which agricultural subsidies can be disbursed include:
- Through direct deposit: this is an arrangement where the farmers are encouraged to acquire reloadable debit cards, into which their subsidy earnings can be loaded. Having acquired the cards, they are then supposed to give the direct deposit details to the authorities that are in charge of disbursing the agricultural subsidies. The debit cards in question here (which are usually Visa or MasterCard branded) work in the same way as the popular gift cards: only that, unlike the gift cards, they are reloadable. Now usually the gift cardholders are able to check their mygiftcardsite balance online, through a portal. In a similar way, the direct deposit cardholders also tend to have web-based portals, where they can check their card balances. With the gift cards, one is expected to visit the mygiftcardsitesign in, to access the gift card account, and check the card’s balance as well as transaction history. Similarly, with the debit cards (through which farmers receive their direct deposit subsidies), you tend to find pages where they can sign in, and proceed to check their cards’ balances and transaction histories. So it is basically the same system, different applications.
- Through the issuance of checks: although paper checks are gradually being phased out, there are still places where farmers’ subsidies are paid through such checks. Upon receiving the checks, the farmers are supposed to ‘bank’ them, and then wait for them to ‘mature’, before they can access their subsidy funds.
- Through the provision of tangible goods: there are systems where the subsidies are not paid in the form of hard cash, but rather in the form of tangible goods. The tangible goods in question here may come in the form of, say, agricultural inputs. You realize that if a farmer is given all agricultural inputs for free, that would translate into a considerable subsidy on his production. Where this system is in place, you will tend to find stores where the farmers can check in, to get the free agricultural inputs they need for their production. There are also places where the free inputs are actually delivered (by the relevant government agencies) to the farms.