Centre defends MSP regime, says bearing storage cost of top crops

On a day when Jagjit Singh Dallewal, the fasting Samyukt Kisan Morcha (non-political) leader, addressed farmers near Patiala and predicted a win for the movement, the Centre defended its Minimum Support Price regime saying the BJP-led NDA had strengthened price remuneration mechanisms for farmers.

At a high-level review of the ministry with state counterparts on Saturday, Union Agriculture Minister Shivraj Singh Chouhan said there was a provision for MSP on many crops so that farmers got the right price for their production. “Between 2014-15 and 2024-25, over 71 crore 75 lakh MT of paddy was bought and over 9 crore farmers were given over Rs 13 cr. Likewise, over the same period, 33 crore and 38 lakh MT of wheat was procured for which 2.83 crore farmers were given the MSP of Rs 6.04 lakh crore. Under the Pradhan Mantri Annadata Aay Sanrakshan Abhiyan, 1,60,818.63 MT of oilseeds, pulses and copra were procured,” Chouhan said urging states to work with farmers on crop diversification, the next major focus of the Centre.

Hailing farmers for their hard work, the minister said foodgrain production was 265.05 MT in 2013-14, which has increased to 328.85 MT in 2023-24.

In an important decision, Chouhan said the Centre had decided to bear the cost of transport and storage of major top crops which were sold at higher prices to consumers even though farmers got a lesser price for their procurement.

This price differential, he said, needed to be addressed urgently. “In the case of top crops such as tomato, onions and potatoes, to bridge the price difference between the producer and consumer states during the peak time of harvesting, the government has decided to bear the cost of transportation and storage for the work done by the central nodal agencies like NAFED,” the minister said asking states to come forward to implement the Price Deficit Payment Scheme as an alternative to oilseeds.

Besides, Chouhan said rural poverty rate had fallen below 5% for the first time in the current fiscal.