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LATEST NEWS UPDATES | Income transfers are hottest trend in agricultural policy. But how do states identify beneficiaries? -Mridula Chari

Income transfers are hottest trend in agricultural policy. But how do states identify beneficiaries? -Mridula Chari

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published Published on Mar 27, 2019   modified Modified on Mar 27, 2019
-Scroll.in

In Telangana, large landholders are benefiting disproportionately from the scheme. In Odisha, families of ministers were on initial beneficiary lists.

Early on January 25, Saroj Kumar Sahu and Manu Patel, two farmers from a western Odisha village, boarded a bus with around 10 others from their village to travel across the state to Puri. They were among thousands of farmers from the state’s 147 Assembly constituencies who were chosen to attend a rally where Chief Minister Naveen Patnaik would launch Kalia, the Krushak Assistance for Livelihood Income Augmentation, an income transfer scheme that aims to give 30 lakh small and marginal farmers Rs 10,000 per year.

Neither Sahu nor Patel saw the launch. Worried they might get lost in the packed rally ground, the agricultural officer accompanying them asked them to skip the rally, eat something nearby and return.

What riles the two farmers more is that despite the fanfare, a month after the first income transfers were rolled out on January 26, neither had received any money. This, even as businessmen and the families of ministers made it to initial drafts of the scheme’s beneficiary list.

Like others, the two farmers from Talab village in Sambalpur district, heard of the new Kalia scheme early in January, soon after it was announced in December. The scheme will give small and marginal farmers Rs 5,000 per season for five agricultural seasons, until the state reviews it again. It also includes assistance for sharecroppers and landless cultivators.

It is one of several cash transfer schemes that state governments have rolled out for farmers in the last two years after persistent negative margins in agricultural markets sparked widespread protests.

States such as Madhya Pradesh and Haryana have toyed with market-level intervention schemes, where they paid farmers the difference between the market price and the centrally-declared minimum support prices. However, traders have taken advantage of these schemes to artificially drop market prices at the expense of the government.

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Scroll.in, 26 March, 2019, https://scroll.in/article/917701/income-transfers-are-hottest-trend-in-agricultural-policy-but-how-do-states-identify-beneficiaries?fbclid=IwAR1_Z5Ot5m48MF3WTCobdcOCDyZQ17L4


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